Suze Orman Says Bitcoin Is A Good Investment

Suze Orman’s Recommendations

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While Suze Orman has urged Americans to invest in bitcoin, she does have a few rules. First, only invest a little. Second, only invest money you can afford to lose. “Any money that you can afford to lose, then I don’t have a problem with you investing in bitcoin,” she said on her podcast Women & Money (And Everyone Smart Enough To Listen). Of course, some are worried since bitcoin has dropped about 10% recently. While Orman admits that bitcoin might plunge to $30,000 or even to $26,000 very soon, “you have to hold it for the long run,” she explained.

As Orman points out, bitcoin isn’t the most secure investment, hence why you should only invest money you can lose. Likewise, it’s not going to win you a bunch of cash quickly. While only 14% of financial advisors are supportive of investing in crypto, according to a survey from the Financial Planning Association and the Journal of Financial Planning, Orman says they are missing the point. In addition to being a good long-term investment, at least according to her, it’s massively popular with the younger generations! “You really have to validate them as to where they are going,” Orman explained.

Is Bitcoin Worth It?

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You’ve probably noticed, but bitcoin has dominated the news recently. Elon Musk, CEO of Tesla and other companies, has primarily been responsible for bitcoin’s popularity for the last couple of years. As soon as the billionaire said that Tesla would allow buyers to use bitcoin for purchasing and upgrading vehicles, its price shot through the roof. Meanwhile, when billionaire hedge fund manager Paul Tudor Jones also said he loved bitcoin last month, it prompted another boom. However, it came crashing down when Musk reversed his decision upon learning how much energy is used to mine bitcoins.

That one man can cause a 5% crash in crypto does not sit well with Orman. “I don’t like that one man can come out and say something and it controls the market,” she said. “Will the government come in and start to regulate it and everything? I don’t know, but I still think for the long run … it’s a place to put some money and just leave it, but not a lot.” Of course, you don’t need to invest directly in bitcoin. You could also invest in companies helping build up the crypto world. Orman did this herself when she bought MicroStrategy, a company that invests in bitcoin. While it cost $125 per share in June 2020, they are not worth $1,030 per share. “There are other ways to play it other than just simply buying the crypto itself,” Orman explained.

Sources: CNBC, MSN.