Crypto Doom: Billionaire Investor Jeremy Grantham Foresees Bitcoin's 'Whimper' Exit

Legendary investor Jeremy Grantham, co-founder of asset management firm GMO and a renowned bubble-spotter, has once again expressed a strong bearish stance on Bitcoin, labeling the asset a “useless, speculative mechanism” destined for a slow decline into irrelevance. Speaking on CNBC’s Squawk Box, Grantham predicted that Bitcoin would “dwindle away, I suspect — not with a bang, but a whimper.” He stated he has never owned Bitcoin and firmly believes it will eventually fall to zero, not through a sudden crash, but a gradual erosion of interest over years or even decades. Grantham argued that Bitcoin's primary function is to “allow fraudsters to move money around” and cited its inherent instability as evidence against its viability as a store of value. He specifically noted the coin “halved for no particular reason in a strong economy,” a critique that resonates given Bitcoin's current market position, contrasting its performance with gold's solid gains over the same period.

Grantham's critique gains fresh perspective amidst Bitcoin's severe recent selloff. After hitting an all-time high near $126,000 in October 2025, the digital asset has shed more than 50% of its value. As of a recent Friday, BTC was trading in the $60,000 range, critically testing a support zone that, if breached, could pave the way for a further decline into the $40,000s. The cryptocurrency's fall towards $62,000 in mid-June was influenced by hawkish signals from the Federal Reserve, which spooked risk markets. Escalating U.S.–Iran geopolitical tensions further fueled inflation fears by driving oil prices higher, prompting Fed officials to abandon discussions of rate cuts and even float the possibility of rate hikes. Adding to the pressure, U.S. spot Bitcoin ETFs recorded four consecutive days of net outflows, totaling approximately $113.8 million. Bitcoin's attempts to reclaim higher ground were met with strong resistance at its 200-day moving average, triggering a roughly 30% decline from that ceiling. This current drawdown is among the fifth worst in Bitcoin's history, a period that rigorously tests the resolve of long-term holders, though some institutional buyers have reportedly viewed the dip as an entry point, with Coinbase indicating significant institutional purchasing during the crash.

In stark contrast to Grantham's pessimism, Mexican billionaire Ricardo Salinas Pliego remains a staunch Bitcoin maximalist, having increased his investment portfolio allocation to BTC from 10% in 2020 to a substantial 70%. His conviction runs so deep that he has even persuaded his wife to mortgage their home to acquire more Bitcoin. Salinas Pliego attributes his skepticism of fiat currency to family discussions about Nixon ending the gold standard, viewing Bitcoin as superior to both cash and gold due to its unseizable and borderless nature. His belief has weathered significant challenges, including a $150 million loan scam, regulatory hurdles for his plans to make Banco Azteca Mexico’s first Bitcoin-accepting bank, and multiple market cycles. He recently underscored his thesis by pointing to London property prices, noting that a home costing 4,000 BTC in 2016 now costs fewer than 30 BTC. Salinas Pliego actively encourages ordinary investors to convert their home equity into Bitcoin exposure, describing it as “an asymmetrical bet to the upside.”