Bitcoin hits 20-month low as market sentiment sours

ft.com

40 points·1vuio0pswjnm7··10 comments

I've been surprised that the news that Strategy (formerly Microstrategy) bought 3x the total amount of mined bitcoin in the past year didn't cause bigger waves.

A single corporation is issuing debt at 11% interest to buy all the bitcoin being produced and a huge chunk of the additional sales. That's such an obviously precarious situation that I figured the news would cause a crash as people tried to get out of bitcoin before Strategy has to start liquidating, but it looks like there's still some runway left.

Are they still buying?

Still buying, currently 12.5 billys underwater.

If they sold today it would be comparable to the largest banking losses from the 2008 kerfuffle

The broader market still sees it as a speculative investment.

This is a recession period.

Outflows into AI. I wouldn’t be shocked if it goes down to $20k soon.

at least with AI you produce some results

probably has more to do with them using the same hardware basis. You can't talk to your AI Girlfriend about how to take over the world and mine bitcoin.

Has anyone calculated what effect swapping AI datacenter calculation to bitcoin mining would have? They’re not asics, but this is a lot of hardware that’s been bought

I wonder how much of this is investment flowing out of everything and into factories and mining other industries that the current regime is de-regulating.

Just a little bit lower before it can go up again.

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