Billionaire Bill Miller Remains Bullish on Bitcoin Despite Ongoing Crash
Legacy American investor Bill Miller revealed he sold some “liquid stuff” to satisfy margin calls as bitcoin might be one of those assets. However, the billionaire remains a keen proponent of the primary cryptocurrency, describing it as an “insurance against financial catastrophe.”
Not Changing his Stance
The US investor, fund manager, and philanthropist Bill Miller stands as one of the most popular bitcoin supporters. He further strengthened his stance during the COVID-19 outbreak and the controversial financial policies that many banking institutions introduced. Back then, he argued that bitcoin is valuable because “it can’t be touched by the government.”
Earlier this year, Miller admitted having invested 50% of his portfolio into BTC. He further disclosed that his first purchase occurred seven years ago when the asset was trading at around $200. However, he accumulated the most during last summer’s crypto crash when bitcoin stood at $30,000.
In a recent interview for CNBC, the American reiterated his position, saying he does not understand investors who do not diversify their portfolios with the leading cryptocurrency. Moreover, he said he is not concerned by the ongoing market decline as he has experienced similar turbulence before:
“I’ve been through at least three declines of over 80%. I own it as an insurance policy against financial catastrophe […] I haven’t heard a good argument yet why anybody shouldn’t put at least 1% of their liquid net worth in bitcoin.”
Asked whether he sold a portion of his BTC stash recently, Miller said, “the short answer is no.” Nonetheless, the investor had to trade some of his “liquid stuff” to meet margin calls.
A margin call occurs when the value of securities in a brokerage account falls below a certain level. At this point, the account holder must either deposit additional funds or sell some of the assets to meet the requirements. Keeping in mind that bitcoin fits the bill of being “liquid stuff,” it could have accounted for some of the sales.
BTC is a Safe Bet Especially at Lower Prices
Nearly a year ago, Miller opined that traders should see the digital asset as a tempting investment option when its USD valuation plunges:
“If I liked something at higher prices, it is a safe bet I will like it even more at lower prices.”
His comments came at a time when BTC crashed to approximately $30,000. Currently, the cryptocurrency trades at almost the same price, making his opinion quite relevant to the real-time situation.