The crypto market has dipped further today. Deadly Eastern European decisions are having a say in red-themed financial charts, unfortunately. Nevertheless, Paul Tudor Jones still likes Bitcoin and Ethereum’s long-term future.

The 68-year-old hedge fund manager, known for his legendary “macro trading” ability was chatting about cryptocurrencies with financial channel CNBC on Monday in the US of A.

Okay, so he didn’t appear on there to merely chat about crypto, but the topic did come up with the multi-billionaire investor from Tennessee, as it so often seems to in mainstream financial conversations these days. (Just don’t ask JPMorgan’s Jamie Dimon about Bitcoin too often, or at all.)

Replying to a question specifically about Bitcoin, its use as a hedge against inflation, and whether he still holds some, Tudor Jones said:

“I’ve always had a small allocation to it… In a time where there’s too much money, too much fiscal spending, something like crypto, specifically Bitcoin and Ethereum, that will have value at some point.”

The investing legend was then asked whether those cryptos will be “at a value much higher than where we are today”, to which he replied: “Oh I think so yeah.”

 

A bad taste in the Fed’s mouth

Tudor Jones went on to paint a pretty bleak financial future in the US predicting “fiscal retrenchment” as the likely story of this decade and an upcoming recession.

Regarding the latter, he said:

“I don’t know whether it started now or it started two months ago. We always find out and we are always surprised at when recession officially starts, but I’m assuming we are going to go into one.

“Most recessions last about 300 days from the commencement of it. The stock market is down, say, 10%. The first thing that will happen is short rates will stop going up and start going down before the stock market actually bottoms.”

He also compared inflation to toothpaste: “Once you get it out of the tube, it’s hard to get it back in. The Fed is furiously trying to wash that taste out of their mouth. … If we go into recession, that has really negative consequences for a variety of assets.”

Tudor Jones reasoned that in economic times like this, cryptos such as Bitcoin and Ethereum (which incidentally he said both have a “finite amount”) will have value at some point.

Note: BTC definitely has a finite supply (there will only ever be 21 million of them), however, it’s never been accurate to label ETH’s supply as “finite”. That said, according to reports and fresh data from ultrasound.money, Ethereum has now officially become a deflationary asset – where more ETH is destroyed than created.

 

Jim Cramer challenges investors to bet against him

Meanwhile, elsewhere on CNBC, Mad Money host Jim Cramer seems a bit sick and tired of his reputation for lousy financial predictions, particularly among the crypto Twitterati.

Cramer’s tweets came in response to a prospectus filing with the US Securities and Exchange Commission (SEC) by Tuttle Capital Management for two exchange-traded funds (ETFs) — Inverse Cramer ETF and Long Cramer ETF. The filing explains:

“The Inverse Cramer ETF (the ‘Fund’) seeks to provide investments results that are approximately the opposite of, before fees and expenses, the results of the investments recommended by television personality Jim Cramer.”

Cramer’s hardly the only one to make a few incorrect calls about stonks and crypto over the past year or so, but fair game, really – he does put himself out there.

According to Bitcoin.com, last year, Cramer talked up Ark Investment Management CEO Cathie Wood just before her ARK Innovation ETF plummeted. He also tweeted a buy recommendation for AMC Entertainment Holdings right before the stock plunged 30%.

And in April last year, he said while hosting his Mad Money program: “We like Coinbase to $475.” Admittedly, the COIN stock did rise to US$342 in November, but at the time of writing, it’s trading at US$67.

 

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