Jason Calacanis, the technology investor who called on crypto founders to embrace artificial intelligence in 2023, is now telling Bitcoin investors to consider moving their money into AI. He expects BTC to revisit $57,000 within the next 12 months and believes the cryptocurrency may never reach another all-time high.

Calacanis shared his prediction on Tuesday, when Bitcoin traded around $79,600, according to CoinDesk data. His target implies a potential drop of approximately 28% from that price.

“Why put your resources into a dead network that offers nothing beyond a store of value?” he wrote on X, questioning Bitcoin’s long-term investment appeal.

He argued that Bitcoin has lost the widespread excitement that previously encouraged investors to hold the asset. With artificial intelligence attracting increasing attention and investment, Calacanis believes investors have more compelling alternatives than a cryptocurrency whose primary function, in his view, is storing value.

“Just sell and shift from Bitcoin to Super Intelligence,” he added.

Bitcoin ETF Outflows Signal Potential Selling Pressure

Calacanis also pointed to withdrawals from spot Bitcoin exchange-traded funds as a warning that further selling could follow.

According to Farside Investors, spot Bitcoin ETFs experienced approximately $774 million in combined outflows on Thursday and Friday. The funds recovered some ground on Monday, attracting about $110 million in fresh capital.

Despite that rebound, Calacanis believes weakening demand could put additional pressure on Bitcoin. His argument focuses on whether the cryptocurrency can attract enough new buyers to sustain its valuation as investor attention shifts toward AI.

Bitcoin’s investment case has traditionally relied on its limited supply and the expectation that demand will grow over time. Calacanis believes that narrative faces a challenge as capital flows toward technologies with more immediate commercial applications.

Calacanis Favors AI-Focused Crypto Projects

Although Calacanis is bearish on Bitcoin, he continues to invest in cryptocurrencies connected to artificial intelligence. He has disclosed a position in TAO, the native token of Bittensor, a decentralized network that rewards participants for delivering AI-related services.

Bittensor incentivizes contributors to provide computing resources, AI-generated responses, data storage, and other services. Its token-based system encourages competing participants to develop useful products and infrastructure.

Calacanis discussed his interest in Bittensor in an April LinkedIn post, arguing that many crypto projects struggle to demonstrate practical value to everyday users, while AI can offer more immediate benefits.

He subsequently reaffirmed his investment in the network, writing: “I am long $TAO and love bittensor’s focus on scaling AI.”

His position suggests that his criticism is directed primarily at Bitcoin’s investment thesis rather than the entire cryptocurrency industry. Calacanis sees AI-focused projects as a more attractive way to gain exposure to technological growth, even as he predicts further losses for BTC.