Analyst: Bitcoin Stuck Near $65K Because Capital Is Flowing to AI
Bitcoin is stuck near $65,000, and trader Wise Crypto thinks AI spending is a big part of why.
The OG crypto poked above $66,000 earlier this week before losing steam, and the pattern points to money chasing AI stocks instead of crypto while inflation and bond yields keep pressure on risk assets.
Where the Money Is Actually Going
Wise Crypto laid out the case on X Thursday, noting that while spot Bitcoin ETFs have had seven consecutive days of inflows that have raked in just under $1 billion, the number was a small one next to the $6.9 billion that left those same funds in May and June.
Meanwhile, Big Tech is spending somewhere between $190 billion and $205 billion on AI infrastructure this year, with Nvidia’s data center revenue up 92% year over year, and AI-linked stocks have climbed roughly 69% since January. Bitcoin, over that same stretch, is down about 25%.
“Capital is flowing to AI, not crypto,” Wise Crypto wrote, pointing to two-year Treasury yields near 4.3% and ten-year yields near 4.6% as the forces keeping the dollar strong and investors cautious on risk assets.
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