AI credit bubble could fuel Bitcoin ‘crack-up boom’ past $1M: Hayes

Written by Ezra Reguerrastaff writerReviewed by Yohan Yunstaff editorWritten by Ezra Reguerrastaff writerReviewed by Yohan Yunstaff editorAI credit bubble could fuel Bitcoin ‘crack-up boom’ past $1M: HayesMarketsPublishedAug 5, 2026Hayes likened the debt-fueled AI infrastructure boom to the 2008 credit bubble, but evidence suggests financial strain is uneven across Big Tech.BitMEX co-founder Arthur Hayes said the debt-fueled artificial intelligence infrastructure boom could end in a 2008-style credit crisis and predicted the resulting government liquidity response could drive Bitcoin (BTC) to $1 million or higher. In a Tuesday blog post, Hayes said investors have mistakenly treated spending on data centers and power infrastructure as high-growth technology investment rather than leveraged real estate. He said he expects lenders to finance excessive construction before a slowdown in AI capital expenditure exposes weaker borrowers. The thesis connects the trillion-dollar expansion of AI infrastructure to a potential new source of crypto-market liquidity. However, Hayes’ predicted crisis, government bailout and subsequent BTC rally remain speculative. Hayes described the AI boom as a “credit story like 2008 and not an earnings story like 2000.” He said BTC could remain between $60,000 and $70,000, with possible downside to $50,000, before the credit cycle and resulting liquidity response drive a recovery. Hayes also forecast that Ether (ETH) would reach $5,000 by year-end and said Maelstrom intends to build a significant position while selling out-of-the-money ETH put options.Hayes’ latest outlook builds on his earlier views on AI’s competing effects on crypto liquidity. On May 13, he said US-China competition in AI would encourage bank lending and fiat creation, benefiting Bitcoin. On June 4, Hayes sold HYPE and NEAR after warning that major AI listings could divert capital from crypto.Big Tech locks in $1 trillion of future leasesThe scale of commitments underpinn…

AI credit bubble could fuel Bitcoin ‘crack-up boom’ past $1M: Hayes

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