Arthur Hayes: AI is draining cryptocurrency liquidity and may tactically short through derivatives

BitMEX co-founder Arthur Hayes stated that currently all marginal funds are flowing into AI stocks. When AI stocks rapidly decline, investors find themselves unable to buy even though cryptocurrencies appear relatively strong.

Last week, Hayes liquidated his positions in $HYPE, $NEAR, and $WLD, and due to the Orchard Pool vulnerability, he also liquidated $ZEC. He emphasized that capital preservation is more important than appreciation, and he currently only holds Bitcoin and Ethereum, stating that ETH "is dead but still usable."

He believes that the bursting of the AI bubble will trigger a financial crisis and lead to "massive money printing." At that time, Bitcoin will first plummet and then surge, and he plans to hold his positions through the volatility, possibly engaging in a small amount of tactical short selling through derivatives.