Jim Cramer was the target of anger on social media on Friday after shares of crypto trader Coinbase soared just a week after finance guru CNBC warned of an SEC investigation into the company .
On July 26, Cramer tweeted, “Coinbase’s postponement of a possible SEC investigation is very bad news considering we don’t even know what it is. But they still hoped to avoid SEC scrutiny.
Twitter users later posted screenshots showing Coinbase share price soars up more than 16% on Thursday to over $106 per share.
Coinbase COIN,
was trading at around $92 per share on Friday. Over the past five days, the company’s shares have risen more than 50%.
The crypto exchange announced on Thursday that it has entered into a partnership with investment giant BlackRock BLK,
the largest asset manager in the world, which will allow its institutional clients to buy digital currencies such as bitcoin.
The sharp rise in Coinbase’s share price prompted critics on Twitter to dunk on Cramer.
“I don’t care if a company is the next Amazon. If Jim Cramer recommends the stock I will never buy,” tweeted accountant and financial information analyst Geneviève Roch-Decter.
Another Twitter user noted, “Just a week after Jim Cramer turned bearish on Coinbase, the stock is down 89%.
“Never follow Jim Cramer’s financial advice!” crypto podcaster Tony Edward tweeted.
Last month, a former Coinbase employee was arrested and charged for an alleged insider trading scheme.
Ishan Wahi, 32, worked as a product manager for Coinbase. The feds allege that Wahi informed his brother, Nikhil Wahi, and a friend of the company’s secret plans to begin offering certain cryptocurrencies.
Federal investigators allege the three men were able to pocket $1.5 million in profits.
Coinbase said it launched its own internal investigation into the matter and reported its findings to the Justice Department.
