Bitcoin protects the wealth that AI creates: Pompiano
Bitcoin (BTC) will be the asset of choice to secure wealth generated from AI over the next decade, according to Bitcoin bull and venture capitalist Anthony Pompliano.
“We're moving into this automated world where AI creates massive amounts of wealth, and Bitcoin protects that wealth,” the founder of Pompe Investments told CNBC in a June 24 interview.
Pompliano dismisses the idea that AI has entered and replaced Bitcoin and the broader cryptocurrency industry as the hot new technology trend, stating that the two technologies will instead work together over the next 10-years.
“There's the potential for GDP to actually increase because of the productivity of AI and then Bitcoin being able to protect a lot of this wealth,” Pompiano said. “I think people who are looking at what's going to happen on a day-to-day or week-to-week basis are missing this huge tailwind for the next decade.”
“When you see these technologies coming together, the easiest way to see the intersection is what kind of money are these machines going to use?”
AI is going to create massive wealth and #Bitcoin is going to protect that wealth.pic.twitter.com/f14bLLfJ5v
— Michael Saylor⚡️ (@saylor) June 24, 2024
On June 23, Bitcoin reached a seven-week low of $59,086.
The negative sentiment came largely as M Gox prepared to sell $8.5 billion worth of bitcoin to creditors, and the Bitcoin exchange-traded fund rose $1 billion in the past 10 trading days.
There is also a big selloff from Bitcoin miners.
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As a result, Bitcoin and cryptocurrency market sentiment fell into the “neutral” zone with a score of 51 out of 100.
This time last week he was in the “Greed” zone, scoring 71 out of 100.
But Pompliano is undeterred by the current 15% drop in prices, pointing out that price returns of 30% or more are typically found in bull markets.
Many people in the public markets say “invest until May and go” and as a result, the second and third quarters aside – especially in half a year – Pompliano explained.
Pompliano thinks it's happening again here – but he expects another price rally in the last quarter or early 2025, which has been a historical trend for half a year.
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