Prominent analyst and investor Michael Burry, who gained fame for predicting the housing and subprime mortgage catastrophe in 2008, has made headlines once again with his recent tweet. Burry, who had previously predicted that another economic crisis similar to the one that occurred in 2008 was on the horizon, has now publicly admitted that he was "wrong to say sell". This statement has led market participants to believe that a market upswing is imminent.
Burry's tweet on February 1 advising his 1.4 million followers to "sell" their holdings had sparked concerns among investors. However, he now argues that the high levels of dip purchasing in the market have changed the current market landscape, and according to a report from Bloomberg, 2023 is shaping up to be one of the best years for dip-buyers.
Burry's reputation as a financial forecaster has been cemented by his portrayal in the film "The Big Short", in which Christian Bale played his character. His foresightedness on impending risks in the financial markets has garnered him a cult following on social media.
Earlier this year, Burry projected that there would be another surge in inflation, and he added that the United States was already in a recession. However, the recent acknowledgment of his mistake in predicting a market downturn has led to speculation that a market rally may be on the horizon.