$20 Trillion Forecast for Cryptocurrency and Artificial Intelligence: Creating FOMO!

An economist said that investors' hot money flowing into artificial intelligence stocks is negative for cryptocurrencies.

BIT Mining Chief Economist Youwei Yang said that the market interprets any news related to artificial intelligence (AI) as bullish. Yang stated that “crypto is no longer attractive” due to the FOMO (fear of missing out) this causes.

“There is a limited amount of hot money in the market, and it is currently devoted to artificial intelligence. If crypto cannot find a convincing narrative or make constructive progress, it will remain flat until a major shock occurs in the market,” Yang said.

It could bring 20 trillion dollars

Bitwise's senior cryptocurrency research analyst Juan Leon said that artificial intelligence and cryptocurrency sectors could create a huge trend.

“The intersection of AI and crypto will be even bigger than people imagine because these two industries could collectively add $20 trillion to global GDP by 2030,” Leon said.

PricewaterhouseCoopers (PwC) also announced that artificial intelligence and cryptocurrency could add $15.7 trillion and $1.8 trillion respectively to the global economy by 2030.

Artificial intelligence is used for DeFi

Experts say artificial intelligence is becoming more and more widely used in high-frequency transactions.

Nuklai Ecosystem Manager Jochem Herber said that transactions, especially in the decentralized finance (DeFi) market, are made within milliseconds. “High-frequency traders use artificial intelligence to execute transactions in a matter of milliseconds,” Herber said.

Thanks to artificial intelligence, complex trading strategies are used and buying and selling can be done without human intervention. “Over the next decade, AI will integrate into DeFi, improving DAO transactions and maintaining transparency while doing so,” Herber said.

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