Arthur Hayes: China AI Price Undercuts US Sanctions

Arthur Hayes told Michaël van de Poppe that Chinese open-source models already deliver sufficient quality at roughly 1% of San Francisco pricing, routing capital away from crypto and leaving BTC exposed. The former BitMEX founder called US export controls an own goal that accelerates adoption of the cheaper alternative while AI continues to vacuum liquidity that might otherwise reach digital assets. On the 4h chart BTC trades at $61012.57 inside the Bollinger band with upper resistance at $65785.79 and lower support at $60250.58; price sits below both the EMA50 at $63388.79 and EMA200 at $67873.36 while the MACD death cross at -786.04 confirms bearish momentum and RSI at 35.59 shows no oversold relief, pointing to a likely test of the lower band before any sustained recovery. This setup aligns with Hayes’ view that the AI industry impact will keep draining funds until the bubble bursts, sustaining pressure on BTC price prediction models that had assumed earlier inflows.