Key Takeaways:
- Former Binance CEO ‘CZ’ mocks financial analyst Jim Cramer’s bearish view on altcoins by declaring it a bull cycle for all cryptocurrencies
- Crypto enthusiasts tend to hold positions that are opposite to the ‘Mad Money’ host’s projections
- Cramer had earlier raised concerns about Binance’s activity in the US, which ultimately led to Changpeng Zhao’s resignation
Changpeng ‘CZ’ Zhao, former CEO of the leading cryptocurrency exchange Binance, has made a tongue-in-cheek response to Jim Cramer’s bearish outlook on altcoins.
On Monday, CZ declared that it was “alt season” under an X post that quoted CNBC’s ‘Mad Money’ host. The statement appears to mock Cramer’s recent advice to investors, where he recommended them to buy Bitcoin but be wary of other alternate cryptocurrencies.
Jim Cramer is a popular financial analyst, all thanks to his hit show ‘Mad Money’. However, the so-called financial expert has found himself to be at odds with the crypto community, especially regarding his recent bearish projection for altcoins.
Cramer’s projections have sparked a trend of counter-trading among crypto enthusiasts, who frequently hold investment positions that are the complete opposite of his recommendations.
Cramer Seems To Have Been Spot On When It Came To Binance’s Legal Struggles
But despite his mistakes, it is important to acknowledge that Cramer had earlier voiced concerns about Binance. Coincidently, his analysis seems to have been vindicated by recent developments surrounding the world’s largest crypto exchange.
Late last month, the US Department of Justice (DoJ) announced that it agreed terms with Binance to settle all criminal charges against the company in exchange for $4.3 billion paid in fines. The arrangement also saw CZ agreeing to step down from his role as CEO of the exchange.
An unsealed court document revealed that Binance was accused by US regulators of failing to maintain a proper anti-money laundering program, operating an unlicensed money-transmitting business, and violations of US sanctions laws.
Meanwhile, CZ pleaded guilty to one count of violation of the Bank Secrecy Act, which is linked to Binace’s alleged role in facilitating illicit crypto transactions for criminal operations across the world.
The fine, which is considered to be the largest imposed on a corporate defendant by the US Treasury and Financial Crimes Enforcement Network (FinCEN), will bring an end to years-long criminal investigations against the crypto trading platform.
CZ, who is a citizen of the United Arab Emirates (UAE) and resides in Dubai, could face up to 10 years in prison for his involvement in the scheme.
Despite the DoJ indicating that CZ is a potential flight risk and should be held back in the US until his trial is complete, a magistrate judge gave the Binance founder permission to remain in Dubai two weeks before his sentencing starts, which is scheduled for February 23, 2024.
Since then, CZ resigned from his position and has been replaced by the former chief of the Financial Services Regulatory Authority of the Abu Dhabi Global Markets (ADGM), Richard Teng, as CEO.
Related Readings: Altcoins, Coins, And Tokens: What’s the Difference?
Altcoins Struggling To Keep Up With Bitcoin
Despite the mockery, Cramer’s projections cannot be pushed away. According to the latest data by CoinGecko, many altcoins are trailing well behind Bitcoin’s recent gains.
For example, Ether (ETH), the second-largest cryptocurrency by market capitalization, has seen a modest increase of 12.7% over the past week and is currently trading at $2,208 – down 2.2% in the last 24 hours.
BNB, the native token powering Binance’s blockchain, recorded only a marginal rise of 2.56% in the past 24 hours and is currently trading at $230.
Other altcoins like Ripple (XRP), Solana (SOL), and Cardano (ADA), have registered slight gains over the week but have come nowhere close to replicating Bitcoin’s 5.7% gain over the same period.
Interestingly, Elon Musk’s favorite crypto Dogecoin (DOGE) seems to be the only altcoin that managed to outperform Bitcoin in the last 24 hours. The meme token is currently trading at $0.088 – down 1.5%.
At the time of writing, Bitcoin (BTC) is trading at $41,685 – down 0.5% over the past 24 hours.
