AI trade is crowded and risky, Michael van de Poppe warns

AI trade is crowded and risky, Michael van de Poppe warns
AI sector faces over-hype and crowding

Michael van de Poppe, industry influencer, critiques the current enthusiasm surrounding artificial intelligence investments, noting that companies like Anthropic and OpenAI no longer provide significant returns for investors.

He emphasizes that the market for these firms has become crowded and over-hyped, making it difficult to realize meaningful gains while exposing participants to considerable risk. Instead, he points to crypto assets like TAO and NEAR as potentially more appealing opportunities related to compute in the AI sector.

Van de Poppe has previously commented on Bitcoin's resilience, noting that the asset maintained its uptrend despite a risk-off move during the recent FOMC speech, with further gains expected here. He also observed that if Bitcoin were to reach $250,000, early investors might be credited with luck rather than recognized for their commitment here. His recent comments on AI investments continue his pattern of highlighting key risks and opportunities across digital assets.

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