DeepSeek's claim of creating an AI chatbot at a fraction of the cost of its Western rivals is likely a strategic move by China to disrupt the U.S.'s dominance in AI for several reasons:
1. Historical Pattern of Disinformation: China has a history of making grand technological claims that do not hold up under scrutiny, as seen with their previous false assertions about cracking extreme ultraviolet lithography for advanced semiconductor manufacturing. These claims serve to instill doubt in Western technological superiority and disrupt market confidence, even if they lack substance. DeepSeek’s cost and performance claims fit this pattern, casting doubt on whether U.S. companies truly need their massive investments to maintain leadership in AI.
2. Economic Warfare and Psychological Disruption: By publicizing a low-cost alternative, DeepSeek creates uncertainty in the AI market, leading to drops in the stock prices of major U.S. AI companies. This undermines investor confidence in the U.S.'s AI ecosystem while redirecting attention toward China as a potential alternative. Even if the claims are exaggerated or false, the damage to U.S. companies' market positions is real.
3. Exploiting Market Sensitivities: The timing of DeepSeek's announcement coincides with increased scrutiny on AI-related costs, particularly for hardware and power consumption. U.S. firms have been spending billions annually on GPUs and data center infrastructure, and DeepSeek's supposed cost-effective approach casts doubt on whether such investments are necessary. This narrative not only pressures Western companies to defend their expenditures but also challenges the assumption that U.S. companies have unassailable technological and financial advantages.
@everyone eth severe price compression. Seventh day of gaussian flashing red and from the looks of it 100 sma will flip 21 and eventually 50. Expecting a move downwards towards 2900-3000 levels. Vitalik wake tf up!
Sol etf outright denied. Sec never approved the filing in the first place. They never took a Sol etf seriously.
Potential contenders for etfs imo are
1. Xrp 2. Ada 3. Hbar 4. Doge
Underdog 5. FET ( US BUILT PROJECT>> more preffered for etf and no capital gains tax, biggest Ai infrastructure, biggest Ai project in crypto, will benefit the most from the Ai hype from the 500 billion investment.)
@everyone till now im not seeing the effect spill over spx or crypto of boj. Even japanese stock market is up. Lets see what happens on day close and monday open.
i have to do a session today. Because many people do not understand the gravity of the situation that will happen tomorrow. I will do a live session today. Will announce in a while the time and platform.
This session is very important. Want every one to attend.#BTCNextATH?
read this report i have prepared as it is very important for every crypto investor.
If the Bank of Japan (BoJ) raises its interest rate this Friday, it could significantly impact the cryptocurrency market, building on the effects of its previous rate hikes in 2024. These hikes, which ended a 17-year period of near-zero rates, strengthened the yen and disrupted the yen carry trade—a strategy where investors borrowed yen at low interest to invest in higher-yield assets like crypto.
As the yen appreciated, the cost of repaying yen-denominated loans rose, prompting investors to liquidate riskier assets, including cryptocurrencies, to cover their debts. This led to substantial sell-offs and increased volatility in global markets, with Bitcoin and Ethereum experiencing sharp declines after earlier rate hikes.
Another rate hike could further strengthen the yen, leading to more unwinding of carry trades and downward pressure on cryptocurrencies. Investors should prepare for potential market instability, as the interconnectedness of financial markets means shifts in traditional assets could spill over into the crypto sector.
1. D.O.G.E officially launched. 2. Mark uyeda appointed SEC chair. Sabse pro crypto banda. 3. Crypto task force assigned by the sec. 4. Bank of America says its ready to embrace crypto 5. Circle ceo says trump will sign an order that will allow bank to trade and hold crypto. 6. Saylor buys $1.1 billion btc. 7. Rex filed $doge etf 8. Eth has set 50k eth for defi. And vitalik and changed the eth foundation completely. Setting in a new era. 9. Millions being bought by wlfi (trump) in ETH. 10. Ross ulbritch to be released. 11. Coinbase would delist USDT if required by authorities.