Short-term investors are actively channeling capital into the AI sector

Short-term investors are actively channeling capital into the AI sector

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by Eve Adams

2 years ago


The Chief Economist of BIT Mining, Yuwei Yang, noted that short-term investors in the cryptocurrency market are currently focused on assets related to artificial intelligence.

At the moment, market liquidity is limited and primarily directed towards the AI segment. This could exert additional pressure on cryptocurrencies. I expect that many digital currencies will trade in a state of consolidation in the near future, said the expert.

Senior analyst at Bitwise, Juan Leon, also shared his opinion. He believes that artificial intelligence and cryptocurrencies are closely intertwined, creating a megatrend that could attract around $20 trillion in the next decade. Experts from PricewaterhouseCoopers (PwC) agree with this forecast.

Specialists predict that by 2030, artificial intelligence and cryptocurrencies together will attract about $17.5 trillion in investments. According to their estimates, AI will dominate this process, receiving at least $15.7 trillion from investors. The race for supremacy in the AI segment is causing an unprecedented shortage of data centers, chips, and electricity.

For example, such resources are widely used in the cryptocurrency mining industry. Mining leading crypto assets requires substantial energy resources and high-performance computing chips. This month, CoreWeave, a company specializing in artificial intelligence, offered to buy the mining corporation CoreScientific.

The offer amounted to $1.6 billion, which is about 55% higher than the market value of the company. However, the management of CoreScientific rejected this proposal. It is also worth noting that high-frequency traders in the DeFi market have begun to actively use AI elements to improve their efficiency.

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