Jim Cramer Fears Crypto Growing Grip on US Stocks, Says “the Tail is Wagging the Dog” 

CNBC’s Mad Money Host Jim Cramer expresses concerns over the growing influence of cryptocurrencies on U.S. traditional financial equities. 

In an X post, Cramer pointed out that speculative behavior in the crypto market is now exerting a noticeable impact on the S&P 500. He used the metaphor, “the tail wagging the dog,” to describe a situation where the smaller part of a more volatile segment starts to influence a much larger system. 

In this context, Cramer referred to cryptocurrency speculation as the “tail” and the S&P 500 as the “dog,” suggesting that digital assets are now influencing movements in traditional U.S. equities. 

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His remark implies that when crypto prices surge, the stock market tends to rally, and when the crypto market crashes, equities often follow with declines. He admitted that he had been worried about this trend materializing over the past few weeks.

Bitcoin and S&P 500 Dip 

Amid his concern, data from multiple sources show that the price of Bitcoin has plunged over 4% today, dropping from $115,500 to $110,343. Similarly, the S&P 500 has also plummeted 1.34% in the same timeframe. However, the recent drop comes amid U.S.-China trade tensions, which wreaked major havoc on the crypto market over the weekend. 

Additionally, mounting uncertainty over the U.S. Federal Reserve’s upcoming decision on interest rates has further contributed to the recent downturn in global markets. Nonetheless, Cramer still believes crypto speculation is dictating S&P 500 performance, rather than the other way around. 

Inverse Cramer Meme Resurfaces 

As expected, X users quickly flooded the comments with the “Inverse Cramer” meme, joking that his fear signals a perfect time to buy. 

The narrative revolves around how Cramer’s predictions and commentary usually move in the opposite direction. For instance, last year, he predicted that Bitcoin would crash to zero, but the apex crypto rallied over 40% several months later. 

Citing Cramer’s history of failed market calls, some users urged him to make bearish predictions for top cryptocurrencies. Tony Edward, host of the Thinking Crypto Podcast, even asked Cramer declare that Bitcoin will never reach $200,000, Ethereum will never hit $10,000, and XRP is heading to zero. 

The premise is that because Cramer’s predictions often prove wrong and move in the opposite direction, his bearish calls could actually signal major rallies for these digital assets.