I think investors are getting nervous about Robinhood's bitcoin correlation, says Jim Cramer
Watch on YouTube ↗  |  February 07, 2026 at 00:36 UTC  |  1:43  |  CNBC
Speakers
Jim Cramer — Host, Mad Money

Summary

  • Investors are increasingly nervous about Robinhood's high correlation with Bitcoin, which Cramer views as losing its status as a store of value.
  • Bitcoin is failing as an inflation hedge, evidenced by its decline occurring simultaneously with a weakening dollar.
  • The President's decision to cut tariffs on Argentinian beef is a specific bullish catalyst for McDonald's and Texas Roadhouse.
  • Vertiv is expected to deliver a "monster quarter" due to data center demand, though market reaction remains unpredictable.
Trade Ideas
Ticker Direction Speaker Thesis Time
VRT
WATCH Jim Cramer
Host, Mad Money 		Vertiv reports earnings on Wednesday and it "could be a monster quarter." Vertiv manufactures essential power and cooling equipment for data centers. As AI and cloud computing expand, the physical infrastructure needs (keeping servers cool and powered) skyrocket, directly benefiting Vertiv's bottom line. Strong secular trend in data center construction. Cramer notes the stock's performance depends on the "mood of the day," meaning even good earnings might be sold off if the broader market is pessimistic. —
TMUS
AVOID Jim Cramer
Host, Mad Money 		Cramer observes that T-Mobile has "fallen off K2" (crashed) and asks "what's the matter" with the former fan favorite. The stock is behaving poorly, trading as if it has slower growth than its competitor Verizon. When a growth stock starts trading like a slow-growth utility without a clear reason, it signals underlying fundamental issues. The stock's recent severe decline and price action relative to Verizon. The sell-off could be an overreaction, presenting a value buying opportunity if the growth story is actually intact. 1:10
TXRH /MCD
LONG Jim Cramer
Host, Mad Money 		Cramer notes that the President is cutting tariffs on Argentina, specifically mentioning this could help Argentinian beef imports. He believes this is positive for McDonald's and Texas Roadhouse. These companies are massive buyers of beef. If tariffs on imported beef are cut, their input costs decrease. Lower costs generally lead to better profit margins. Additionally, Cramer notes McDonald's "value proposition is back." Presidential tariff policy change regarding Argentina. Supply chain issues or rising labor costs could offset the savings from cheaper beef. 1:05
BTC /HOOD
AVOID Jim Cramer
Host, Mad Money 		Cramer states he does not want to own Robinhood because investors are "unnerved by how closely aligned this stock is with the price of Bitcoin." The trade relies on the view that Bitcoin is becoming a "toxic" asset. It is failing its primary use case as a hedge against inflation (dropping even as the dollar weakens). Because Robinhood's stock price tracks Bitcoin's performance, the platform becomes a risky repository for a failing asset class. Bitcoin's "precipitous decline" coinciding with a weakening dollar; Robinhood's stock acting as a proxy for crypto volatility. A sudden resurgence in crypto prices would likely rally Robinhood shares immediately. 0:10