 ▲ Artificial Intelligence (AI), Bitcoin (BTC), Stocks/ChatGPT-generated image |
As the artificial intelligence (AI) revolution converges with big capital’s strategy to secure exit liquidity, an unprecedented economic upheaval is being forecast, and the cryptocurrency market now faces the calm before a massive storm.
Cryptocurrency content creator and analyst Lark Davis said in a video uploaded to his YouTube channel on February 17 (local time) that the rapid advancement of AI technology is devouring white-collar jobs and shaking the foundations of the labor market. Citing Atlassian’s decision to halt software engineer hiring, Davis warned that individuals who do not use AI tools daily risk becoming part of a permanent underclass. Comparing the current global economy to the sinking Titanic, he stressed that investors should pay close attention to moves by major capital players seeking to withdraw funds before a full-scale market collapse.
Titans of Wall Street and Silicon Valley are reportedly planning to secure exit liquidity through approximately $15 trillion worth of initial public offerings (IPOs). Davis analyzed that the timing of large-scale IPOs such as Anthropic and SpaceX flooding the market could signal a price peak and an exit opportunity. Just as the Great Depression of the 1930s was triggered in part by agricultural job losses following the invention of the tractor, he explained that technological unemployment and economic pain caused by the AI revolution could leave deep scars on the market.
In the Bitcoin (BTC) market, signs of accumulation by smart money are emerging, suggesting a bottoming process ahead of a rebound. BlackRock’s spot Bitcoin ETF, IBIT, recorded its highest-ever trading volume around the $60,000 level, indicating that large institutions are absorbing massive sell-offs. Davis pointed out that whether Bitcoin can defend the $68,000 level at this week’s weekly close will be a critical inflection point for its future direction. If this support is lost, further downside toward the mid-$50,000 range, where the 200-week exponential moving average sits, remains possible.
Ethereum (ETH) has posted 11 monthly declines out of the past 14 months, continuing its sluggish performance, with prices falling below $2,000 and raising investor concerns. Davis noted that the volatility during Donald Trump’s rise to power once provided profit opportunities in certain altcoins, suggesting that today’s fear could similarly present opportunities. As assets like Pepe (PEPE) test potential rebounds near their 20-day moving averages, Pantera Capital CEO Dan Morehead maintained optimism, predicting that within the next two to three years there could be a national-level Bitcoin reserve race—effectively a cryptocurrency arms race.
Ultimately, investors must formulate survival strategies by simultaneously monitoring structural macroeconomic changes and technical indicators in the cryptocurrency market. Although concerns persist over a stock market correction, with the possibility of Nasdaq futures falling to 597 being raised, the absence of a clear market catalyst and the peak of public fear could paradoxically mark the starting point of a new rally. Davis advised embracing technological tools and reassessing asset portfolios to avoid being left behind in the new AI-driven economic order.
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