TLDR
- Billionaire hedge fund manager Paul Tudor Jones predicts a massive rally in Bitcoin, gold, and tech stocks similar to the dot-com bubble’s final phase
- Jones compares current market conditions to October 1999, when the Nasdaq doubled in five months before crashing
- He holds positions in Bitcoin, gold, and Nasdaq stocks to capture gains from what he calls a “blow-off top”
- Jones warns the rally will be explosive but dangerous, requiring investors to exit quickly when momentum shifts
- Current conditions are more powerful than 1999 due to Fed rate cuts and 6% budget deficit happening simultaneously
Billionaire hedge fund manager Paul Tudor Jones told CNBC he expects a massive rally across financial markets. He said Bitcoin, tech stocks, and gold will see major gains before an eventual downturn. Jones founded Tudor Investment Corp and has been a prominent voice in markets for decades.
JUST IN: Billionaire Paul Tudor Jones said #Bitcoin is one of the biggest winners in this market.
It’s “very, very appealing” 🚀 pic.twitter.com/frAbC2svCi
— Bitcoin Magazine (@BitcoinMagazine) October 6, 2025
Jones compared today’s market setup to October 1999. That period marked the final stage of the dot-com bubble. The Nasdaq nearly doubled in five months before crashing and losing 80% of its value over two years.
“My guess is that all the ingredients are in place for some kind of a blow-off,” Jones said during his CNBC appearance. He told investors to position themselves like it’s October 1999. Bitcoin recently hit a new all-time high above $125,000 during its “Uptober” rally.
Jones said current conditions could produce an even stronger rally than the late 1990s. The Federal Reserve is cutting interest rates while the government runs a 6% budget deficit. In 1999, the Fed was raising rates and the government had a budget surplus.
“That fiscal-monetary combination is a brew that we haven’t seen since the early postwar period,” Jones explained. He described the mix as a “sugar rush” for markets and the economy. The combination of easy money and heavy government spending creates powerful momentum.
The Nasdaq Composite has gained 55% since April. Mega-cap technology companies are investing billions in artificial intelligence. Jones said similar forces of speculation and liquidity are flowing into crypto markets.
Bitcoin and Ethereum have both rallied in recent weeks. Analysts at JPMorgan forecast Bitcoin could reach $165,000. Jones sees Bitcoin’s strength as a reflection of broader liquidity driving markets higher.
Current Investment Strategy
Jones revealed he holds a mix of gold, cryptocurrencies, and Nasdaq tech stocks. He plans to maintain these positions through year-end. Gold and Bitcoin provide protection against monetary expansion, he argued.
Bitcoin rose about 2.18% following Jones’ comments. Gold futures gained 1.73%. Both assets have historically served as hedges during periods of monetary easing and inflation concerns.
Jones noted that investor behavior shows signs of stretching. Margin debt levels have risen. Interest in leveraged exchange-traded funds has increased. These indicators suggest markets are entering a late-cycle phase.
Warning Signs Ahead
Jones warned that the final stages of bull markets are both profitable and dangerous. “The biggest gains happen right before the top,” he said. History shows the steepest gains typically occur in the final twelve months before a peak.
He emphasized that investors need “happy feet” to succeed. Quick exits become necessary when momentum reverses. “If you don’t play it, you’re missing out on the juice,” Jones said. “But if you do play it, you have to have really happy feet because there will be a bad end to it.”
Jones doesn’t expect an immediate crash. He sees more room for upside as retail traders and hedge funds join the rally. A true “blow-off top” requires more participation from investors driven by fear of missing out.
The billionaire has advocated for Bitcoin as a store of value for years. He remains among the earliest high-profile hedge fund managers to compare Bitcoin to gold. His current positioning reflects confidence in the rally’s continuation while acknowledging its eventual end.
Jones said conditions are “so much more potentially explosive than 1999.” The combination of AI speculation, crypto momentum, and accommodative policy creates unique market dynamics. Bitcoin’s recent surge above $125,000 demonstrates the strength of current bullish sentiment.
