Strategy founder Michael Saylor, who has been making headlines with his Bitcoin sales after a long period of silence, has commented on the recent decline.
Speaking to Natalie Brunell, Michael Saylor pointed to a single reason for the decline: “artificial intelligence.”
Saylor argued that there was significant market interest in the AI sector, and this wave was temporarily diverting capital away from Bitcoin.
However, Saylor predicts that the current AI trend will reverse before the end of the year.
According to Saylor, Wall Street is currently focused on the artificial intelligence sector. He cited companies like OpenAI, Anthropic, Google, Meta, and SpaceX as examples of those heavily investing in AI infrastructure and data centers.
Consequently, Saylor believes that hot money is flowing from many asset classes, including Bitcoin, towards artificial intelligence. At this point, the renowned analyst estimates that approximately 1% to 2% of the capital flowing into AI investments comes from allocations related to Bitcoin.
When Will Bitcoin Rise?
Saylor stated that the decline in Bitcoin was short-term and that this trend would not last forever.
At this point, Saylor believes that after a while, investors who have invested in and profited from AI will take their profits and transfer them to riskier assets like Bitcoin.
Saylor suggested that AI-powered capital rotation could take 12 to 24 weeks, stating that he doesn’t expect an immediate recovery but believes the market will look very different by the end of 2026.
“Once deals and funding rounds in the AI space are completed, hedge funds and investors will reverse the market and initiate another rotation in the opposite direction.”
Some of the money will also return to Bitcoin. I think this trend will reverse towards the end of the year.”
*This is not investment advice.
