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Gary Cardone made $750K without chasing Bitcoin, here's what he bought
Investor Gary Cardone says he has earned about $750,000 from Strategy's STRC preferred shares after deciding against buying Bitcoin at higher prices. In an interview, Cardone said he could ha
Investor Gary Cardone says he has earned about $750,000 from Strategy's STRC preferred shares after deciding against buying Bitcoin at higher prices.
In an interview, Cardone said he could have bought Bitcoin at around $98,000 a few months ago.
Instead, he put his capital into STRC, the variable-rate preferred stock issued by Strategy, while it was trading close to its par value.
"I’ve made $750,000 on STRC while I didn’t know what the market was doing,” he said during the interaction.
Monthly payouts funded his Bitcoin buys
STRC pays a dividend every month, and Cardone said his position brought in roughly $63,000 a month.
He said that he used that income to buy about 12 Bitcoin while keeping most of his capital away from the cryptocurrency's sharp price swings.
He added that the transaction also let him move back into cash or Bitcoin whenever he chose, instead of sitting idle while waiting for a dip.
Eyes a $70,000 entry
At the time of writing, Bitcoin climbed near $83,000, but Cardone is not buying into the move. He said he turned bearish over the summer because he wanted to add coins at $57,000 or lower.
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"No one should chase Bitcoin ever again," he said, urging investors to focus on their entry price.
Cardone added that he would not pay $120,000 for Bitcoin, and he sees room for a pullback into the low-to-mid $70,000 range.
Bullish on Wall Street's role
His caution on price does not reflect doubts about Bitcoin's future. Cardone welcomed Wall Street's growing presence in the market, calling it a sign that the asset is maturing.
He suggested that demand from spot Bitcoin ETFs and wealth managers could give prices firmer support during sell-offs.
Over the long term, he expects Bitcoin to become more valuable as collateral, letting holders borrow against their coins instead of selling them.
Related: 92-year-old burger chain's Bitcoin strategy delivers 13.8% sales jump
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