Billionaire investor Jeremy Grantham says bitcoin will 'dwindle away with a whimper'

Prominent billionaire Jeremy Grantham has once again voiced his skepticism regarding Bitcoin, forecasting that the cryptocurrency will gradually slip into obscurity over the coming decades. As the co-founder of the investment firm GMO and a seasoned market analyst known for his insights on asset bubbles, Grantham labeled Bitcoin a 'useless, speculative' asset lacking intrinsic value during an appearance on CNBC's 'Squawk Box' on Friday. Grantham pointed out that Bitcoin has failed to demonstrate significant gains even during bullish market conditions, raising doubts about its practical applications. He remarked, "Over years and years, decades and decades, it will dwindle away, I suspect – not with a bang, but a whimper." He emphasized that Bitcoin is not a reliable store of value, highlighting its volatility by noting that it recently halved in value for no apparent reason within a robust economy. In contrast, Grantham praised gold for maintaining its strength, even after a decline from its peak. He asserted that Bitcoin has not established itself as a viable speculative asset and lacks any real-world utility. "People don't use it to make serious trades, they don't use it to buy their dinner and pay at the supermarket. What it does is allows crooks to move money around," he stated. Bitcoin's reputation has been marred by significant price drops, which have seen it plummet by at least 70% during each market cycle. Currently, it remains approximately 52% below its peak from October, trading under $60,000. Many investors are concerned that this downturn may persist for several months ahead.