Binance founder Changpeng Zhao (CZ) said speculative capital is rotating back to crypto from artificial intelligence (AI) trades. Meanwhile, research firm River published a model putting Bitcoin (BTC) as high as $840,000 within five years.
That returning money meets a market Glassnode describes as boxed in. BTC trades near $77,278, down 0.04% over the past 24 hours, with heavy overhead supply still sitting above.
AI Money Rotating Back to Crypto Still Needs Rails
CZ framed the shift as a reminder rather than a victory lap. AI pulled speculative flows through 2026. However, he argued the money layer beneath those trades never went anywhere.
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The capital he describes is tourist money. It moves fast, chases the loudest narrative, and rarely stays for a full allocation cycle.
Advisors Hold 0.008% of Their Assets in Bitcoin
River published its case for a 10% Bitcoin allocation the same day. The report argues portfolios sit structurally underweight despite Wall Street guidance of 1% to 7%.
Investment advisors as a group hold 0.008% of assets in Bitcoin, River found. Meanwhile, 29 of the top 30 registered investment advisors already own some, echoing calls from advisors pushing larger allocations.
$840K is what could happen if just a fraction of investors allocate just a fraction of their capital to Bitcoin,” read an excerpt in the report, citing Sam Baker.
River models 20% to 40% of portfolios adding 2% to 4% weights against a $333 trillion asset base. That implies $1.3 trillion to $5.3 trillion of net inflows over three to five years, or roughly $250,000 to $840,000 per coin.
The $83,000 Supply Wall Decides Who Is Right
Glassnode works on a shorter clock. Its latest report places long-term holder supply between $83,000 and $86,000, with an accumulation floor at $62,000 to $65,000.
The August 19 short squeeze carried Bitcoin price action above $80,000 on August 27 before sellers turned it back toward $76,000. Supply in profit had climbed to 68% from 65% in May at the same nominal price.
Spot Bitcoin ETFs took in $290 million per day at peak, yet strong ETF inflows met secondary turnover near just $3 billion daily. The US 10-year Treasury yield has since returned to 4.8%.
Returning hot money hits the liquidation map long before it touches any allocation model. Whether long-term holders sell into that bid will decide if River’s math gets a down payment or another rejection.
Source: BeInCrypto
