Billionaire venture capitalist Chamath Palihapitiya argued on Sunday that bitcoin bulls face a two-front squeeze, with speculative money migrating to prediction and equity markets while the energy that powers mining is worth more redirected to artificial intelligence (AI).
Key Takeaways
Chamath Palihapitiya said marginal liquidity now prefers prediction markets and equities over bitcoin. Bitcoin’s hashrate slid 7.9% to 908 EH/s this month, forcing a 5% difficulty cut as miners eye AI computing deals.Polymarket traders give bitcoin just 10% odds of reaching $100,000 by Dec. 31, 2026, as BTC currently trends near $64,000.Industry analysts have described miners as abandoning the network for AI and high-performance computing contracts, with one setting a 2028 deadline for the trend to peak.
