Visser Calls Crypto Selloff 'Debasement Capitulation', Sees AI-Driven Growth Ahead

Wall Street veteran Jordi Visser believes that the recent selloff in Bitcoin (BTC), gold, and silver is a 'debasement capitulation' caused by the unwinding of a crowded macro trade.

The trade, which paired long positions in these assets against bets that bonds would fall, had become heavily owned by wealth-management firms and pension funds before beginning to unwind after Federal Reserve Chair Kevin Warsh adopted a more hawkish tone, strengthening the US dollar.

Visser argues that Bitcoin's weakness stems from quarter-end portfolio rebalancing, aggressive short-selling, and continued skepticism from many institutional investors, rather than deteriorating fundamentals. He believes that the underlying thesis remains intact, citing persistent government deficits and rising debt levels.

However, Visser remains bullish on crypto, tying his recovery case to AI agents and tokenization, which he believes will accelerate the velocity of money and unlock a new growth phase for cryptocurrencies.