Jeffrey Gundlach- the CEO of Doubleline Capital has made his recent prediction about the fall of bitcoin. He predicted that bitcoin shall fall even below the level of 23,000 USD. Gundlach is a billionaire fund manager and is also known as the ‘Bond King’ in circles. He said, “The chart on bitcoin looks very horrible right now. It looks like a huge head and shoulders top.”
Jeff had an interview with CNBC on Thursday where he discussed his vision for the US dollar and bitcoin. As of March 31st, he has over $135 billion worth of assets under the management (Assets under Management). He got the title of Bond King after he had appeared on the cover of Barron’s magazine as ‘The New Bond King’ in 2011. In 2013 “institutional investor” named him “Money Manager of the year” and in 2012, 2015, and 2016, Bloomberg Markets named him one of “the fifty most influential” people. Forbes says Gundlach’s net worth is 2.2 billion dollars. That is super impressive. Isn’t it? It might not be wrong to say that the person with such high profile credentials can pass out such predictions and has a great eye and foresight on the market about bitcoin which increases the authenticity.
He said: “I’m not a huge big accepter of head-and-shoulders tops, however, this one looks very reliable. Turning neutral at $23000 was certainly too early, but I’ve got a feeling that you’re going to be able to purchase it below $23000 again.”
He also cited his other investments. He said, “Gold is interestingly negative this year.” Commodities are very sturdy. This year, they are going up more than stocks as a basket. But gold can’t seem to get out of its own way. And the dollar being stronger lately is not positive for gold too.”
Additionally, the billionaire predicted about dollar’s sturdiness. He said:
“The dollar seems firm in the near term. However, the dollar is doomed in the longer term.”
Billionaire Bond King believes that a notable price drop in the dollar is coming up in the intermediate-term by calling the size of the United States deficit.
He had said in November 2020 that gold and bitcoin were good as hedgerows against inflation. He additionally predicted that the stock market was about to crack very hard within 18 months. He also cited that the US market will be the worst-performing market. He said, “When the next big meltdown happens, the weakened dollar will have a lot to do with that.” This news seems to be very alarming for the United States government and the concerned government institutions in the United States. That can put a big crack in the American economy that has already received a bit of jolt from the Covid-19.