Michael Saylor blames AI boom for Bitcoin’s weakness: ‘This is capital rotation’ 

Michael Saylor, founder of the world’s largest Bitcoin treasury firm, Strategy, has distanced himself from the recent claims of driving Bitcoin weakness. 

In an X (formerly Twitter) post on Thursday, Saylor blamed the AI boom for draining capital from Bitcoin.

Capital markets are funding the AI buildout at a historic scale: ~$400B over 6 months. Bitcoin ETFs have seen ~$4B of outflows since May 14, pressuring $BTC. This is a capital rotation, not a Bitcoin impairment. Volatility creates opportunity.

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Much of this week’s BTC’s extended plunge to $61K happened after Strategy sold 32 BTC. As someone who has championed ‘never sell Bitcoin’ for years, the move rattled some investors. For him, however, the dump and ‘volatility’ was an opportunity. 

But longtime Bitcoin critic Peter Schiff disagreed with his framing and retorted,

This isn’t volatility, it’s a collapse in price as investors dump Bitcoin to avoid larger losses or to seek out better investment opportunities. It’s a rejection of your entire thesis.

Bitcoin: Analysts sound the alarm on AI IPOs

That said, some analysts reinforced Saylor’s argument. Starting from SpaceX’s IPO next week, other top AI firms like Anthropic and OpenAI are set to go public between June and October. 

In fact, Wintermute’s OTC trading head Jake Ostrovskis and analyst Benjamin Cowen projected that BTC’s bearish pressure may only subside after scheduled AI IPOs are over.

For these analysts, the profits from the AI trade will flow back to BTC and begin its next 4-year cycle again. 

Another analyst and Bitwise advisor, Jeff Park, also cleared Strategy’s from the recent BTC dip. 

I don’t think Bitcoin is selling off because of MSTR. I think it’s being tapped to fund the market’s upcoming hot ball of money trades: SpaceX, Anthropic, whatever else everyone suddenly ‘has to own’

How low can Bitcoin price fall in the mid-term?

Since mid-May, Spot BTC ETFs have bled out over $4.4B, with Bloomberg ETF analyst Eric Balchunas calling it ‘bad times.’

On a weekly average, the net outflows hit $292M, the highest investor exit since November 2025. 

With no institutional bid to cool off the pullback,  BTC price dumped to February lows near $61K. 

For his part, analyst James Van Straten said the BTC’s plunge was currently easing at the 200-weekly Moving Average (200WMA, red line).

But he projected the correction could extend to the realized price of $53.8K (orange), citing past bear market patterns in 2022 and 2018. 

Final Summary

• Saylor dismissed claims of Strategy triggering BTC’s latest weakness; instead, he blamed the AI boom for the correction. 
• Analyst warned that BTC could dip to the realized price of $53K if the AI IPO-driven weakness intensifies.