By Dana Sanchez
Dr. Michael J. Burry, the hedge fund manager who made a fortune off the subprime mortgage crisis and helped inspire the best-selling book and movie, “The Big Short,” described bitcoin as a “speculative bubble” in a now-deleted tweet.
Burry admitted that bitcoin bulls are right about the cryptocurrency’s relevance, but that doesn’t change the fact that it’s a risky investment.
“$BTC is a speculative bubble that poses more risk than opportunity despite most of the proponents being correct in their arguments for why it is relevant at this point in history,” he wrote. “If you do not know how much leverage is involved in the run-up, you may not know enough to own it.”