AI Boom & Bitcoin Will Lead To MASSIVE Bull Market

Crypto Market & Bitcoin - Bitcoin and the crypto market are awaiting a catalyst for broader adoption, with traditional finance already largely on board [1][8] - An anticipated rate cut is expected to be bullish for Bitcoin, potentially driving its price significantly higher [1] - The market is pricing in an approximately 85-86% probability of a rate cut [1] - Stablecoins and crypto are increasingly seen as integral to the future of finance, with potential government support and modernization of financial markets [8] AI & Economic Impact - AI is significantly impacting the economy, with massive revenue beats from major tech companies like Google, Amazon, Meta, Apple, and Microsoft, driven by cloud growth [3] - The AI buildout, including data centers and power plants, suggests a potential rise in PMIs and inflation [3] - AI adoption is entering a phase where larger companies are using it more, potentially boosting profit margins for financial, healthcare, and other service-based companies [3] - The race to AGI (Artificial General Intelligence) is intensifying, with companies investing heavily in AI talent and infrastructure [3][4] - Recursive learning, where code learns from code, is accelerating AI development, potentially leading to exponential productivity gains [4][5] - AI could automate monetary policy decisions, removing human bias and potentially leading to better outcomes [9][10] Monetary Policy & Economic Outlook - The Fed's dual mandate of watching inflation and dealing with the labor market presents a difficult dynamic, potentially leading to debasement and the need to print money [9] - The labor market shows signs of weakness, with only 46% of industries adding jobs, historically a level associated with recession [9] - The government is fast-tracking permits for energy and data center projects and providing favorable tax treatment to support AI development [4] Company Specific - MicroStrategy is seen as having an advantage in preparing for a future where AI and recursive learning disrupt traditional business models, with Bitcoin as a key asset [7][8] - Figure, a non-bank home equity lender, is entering the crypto-backed loan space, offering loans using Bitcoin as collateral [5]