Today Barstool Sports founder Dave Portnoy, an outspoken pandemic day trader, posted a video on Twitter promising never to buy Bitcoin again despite the continued upward trend in cryptocurrency.
Is this bearish stance just a bad case of seller remorse, or does Portnoy have valid reasons for being so vehemently against Bitcoin?
Barstool Sports’ Dave Portnoy swears by buying Bitcoin: “Never”
When the world of sports closed at the start of the pandemic, an army of sports enthusiasts turned their gambling addiction to the financial markets and started trading Robinhood.
No retailer has embodied this trend better than Dave Portnoy, founder of Barstool Sports. Portnoy made its gains and losses very public, but mostly stayed public.
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At one point, a campaign to convince Portnoy to consider cryptocurrencies instead caught his attention and he spent some time sitting down with the Winklevoss twins
On August 13th, Portnoy announced that it had bought Bitcoin. Portnoy had invested $ 200,000 by market capitalization in the leading cryptocurrency, at the price of around $ 12,000 per coin at the time, along with some Chainlink and Orchid. Days later, however, he sold the coins because “coins don’t always go up”.
“By contrast, stocks,” he said, “keep rising.” Now he’s mad at Bitcoin for the same reason and vows never to buy the asset again.
Anger and rage overcomes the Barstool Sports founder after seeing Bitcoin trading over $50,000 | Source: BTCUSD on TradingView.com
Has the cryptocurrency destroyed his ego? Or is something else going on?
The maximum pain scenario for crypto investors lately has been prices taking off like a rocket without a chance to buy cheaper. Could it cause Portnoy to go salty if Bitcoin’s epic surge from $ 12,000 to $ 52,000 was missed in just a few months?
In his latest Twitter video, he first says, “Bitcoin is the only thing that won’t go down”, but ultimately, “he doesn’t buy the underlying junk behind it”. Ironically, he sold his coins as they were falling and put his money back in stocks that have since stagnated as Bitcoin set record after record.
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The underlying junk he is referring to is a network that generates $ 50 million in revenue every day, has handled trillions over the years, and is limited to just 21 million coins by mathematical code.
He congratulates crypto investors who drive “Ferraris” and “buy houses” and admits that investing in Bitcoin is highly profitable and that cryptocurrency could go up “forever”.
Given that this used to be his investment thesis, he only hurts himself because he doesn’t want to buy Bitcoin.
Featured image from Deposit Photos, Charts from TradingView.com