Alert in AI Euphoria: A Practical Guide to Avoid the Bubble

The AI euphoria is draining venture capital and inflating expectations. For the crypto market, the risk is double: a sharp correction in tech could drag down the prices of digital assets, given the historical correlation.

Warning Signs for the Crypto Investor:

Disconnected Capex: If investment in infrastructure (GPUs, data centers) continues to rise while actual AI revenue slows down, it is a classic sign of excess. This could lock up overall market liquidity.

Rapid Commoditization: Aggressive drop in the prices of APIs and AI models indicates a price war and smaller margins. Crypto projects focused on AI without a real advantage will be the first to fail.

Lack of "Killer App": The absence of decentralized applications (dApps) with mass adoption and sustainable revenue exposes the narrative as speculative.

Direct Impact on Crypto:

Liquidity: A burst of the AI bubble would trigger a flight to safe assets, putting pressure on Bitcoin and altcoins.

Narratives: "AI token" projects with weak fundamentals would be the most affected. Survival will depend on real utility, not just hype.

Defensive Strategy:

Diversify beyond-AI. Prioritize Bitcoin, Ethereum, and sectors with independent cycles, such as DeFi and RWAs. Evaluate AI projects with extreme skepticism, focusing on those with functional products and organic demand. The key is to monitor the actual profits of big techs – when margins shrink, systemic risk will increase.

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