Warning: AI capital is retreating
A Bank of America report says hyperscalers’ capital spending expectations have surged from $330 billion to $1 trillion—about 3% of U.S. GDP—while AI token prices have been cut in half since the summer.
Skyrocketing capex combined with collapsing token prices is flashing clear signs of an overheated capital cycle. AI-compute narrative tokens are under the most short-term pressure, so a rebound is a chance to trim positions. The market is moving down in tandem, but the decline is manageable. Major players are still accumulating near key support levels, so don’t panic on a retest.
At this TAO price, are you waiting for a break below the previous low to stop out, or placing orders to add? Share your cost basis.
$TAO $BTC $ETH
A Bank of America report says hyperscalers’ capital spending expectations have surged from $330 billion to $1 trillion—about 3% of U.S. GDP—while AI token prices have been cut in half since the summer.
Skyrocketing capex combined with collapsing token prices is flashing clear signs of an overheated capital cycle. AI-compute narrative tokens are under the most short-term pressure, so a rebound is a chance to trim positions. The market is moving down in tandem, but the decline is manageable. Major players are still accumulating near key support levels, so don’t panic on a retest.
At this TAO price, are you waiting for a break below the previous low to stop out, or placing orders to add? Share your cost basis.
$TAO $BTC $ETH