Crypto's Lightning Rod: Massive AI Spending Siphons Capital Flow

Bitcoin (BTC-USD) has seen significant losses over the past year, falling from its October 2025 peak above $126,000 to a current price near $64,000 - a roughly 50% drawdown.

The four major hyperscalers - Amazon, Google, Microsoft, and Meta - are on track to spend around $700-$760 billion in capital expenditures this year alone.

Meanwhile, spot Bitcoin ETFs have experienced substantial outflows in recent months, with retail and institutional capital appearing to rotate elsewhere.