DoubleLine Capital’s CEO and co-founder Jeffrey “Bond King” Gundlach said Bitcoin has been in “bubble territory” ever since it broke $20,000.
“Bitcoin, to me, is now in bubble territory based on how it’s been acting. The people that point out that it has a terrific supply-demand dynamic if indeed institutions get involved, they’re right about that,” he told CNBC.
Gundlach describes how last year he had two convictions: that the dollar is going down and bitcoin is going up. “When bitcoin got to about $23,000, I thought it started looking like the mania.”
He said he went neutral on the decentralized currency after it broke the $20,000 milestone. Once bitcoin reached $40,000 then dropped nearly 20% on Monday, Gundlach commented on the coin’s behavior.
“It’s volatile as all get-out. I don’t like bitcoin here. I don’t like things that are up on a stilt like that,” Gundlach said. “I’m not really a contrarian, but there are times when people seem to be so much on one side of the boat that I don’t believe the boat can sail that well.”
© 2021 The Block Crypto, Inc. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.