Billionaire investor Ray Dalio has spoken about the attention to Bitcoin (CRYPTO: BTC), despite its smaller market cap compared to the tech giant Microsoft Corp (NASDAQ:MSFT).
What happened: In an interview with former model turned podcaster Chris Williamson on Wednesday, Dalio expressed confusion over the apex cryptocurrency’s popularity, saying: “Who knows, maybe there’s an element of it that I don’t understand.“
Commenting on the discrepancy between the market capitalization of Bitcoin and Microsoft, Dalio questioned why the apex cryptocurrency is getting more attention. He stated, “The size is about 30% the size of Microsoft, and Microsoft is one stock among many stocks. [But] it has brought a lot more attention.”
ENTER TO WIN $500 IN STOCKS OR CRYPTO
Enter your email and you’ll also receive Benzinga’s ultimate morning update AND a free gift card of $30 and more!
See More: Top Indian Apps Giving Bitcoin, NFT Rewards
Why it matters: While admitting to holding “a bit” of Bitcoin, Dalio expressed his preference for gold as an investment asset due to its status as the third-highest reserve asset among central banks, behind the dollar and the euro. He highlighted the timelessness and universality of the precious metal as key factors in his investment strategy.
Options 101: The Beginner’s Guide
Want to become an options master? In his free reportoptions expert Nic Chahine will give you access to four bulletproof tips for beginnersthe secret to achieved 511% gain with options, and his time-tested “plan” for success. Grab your free copy of Options 101: The Beginner’s Guide ASAP.
However, Dalio acknowledged that Bitcoin offers certain advantages that gold cannot, including transaction tracking and “not being liked by the government.” Despite this, he remains cautious, keeping his BTC allocation low to reduce potential downside risk.
Throughout the interview, Dalio emphasized the importance of prudent investment strategies, recommending against overexposure to volatile assets such as Bitcoin. “I don’t believe much in Bitcoin,” he stated, advising listeners to approach the asset with caution.
Price action: At the time of writing, BTC was trading at $28,996, up 2.30% in the last 24 hours, according to Benzinga Pro.
Read more: Bitcoin, Ethereum, Dogecoin Trade Mixed After Arkham Intelligence Denies “Buggy” Mt. Gox Alerts: Analyst Predicts Summer Rally for BTC
