Bitcoin News: CZ Rejects AI Hacking Fears as BTC Defends $81,000 Support

Binance founder Changpeng “CZ” Zhao has argued that artificial intelligence is unlikely to break Bitcoin’s cryptographic protections anytime soon, warning that AI-powered phishing and social engineering pose a more immediate danger to crypto users. In comments posted on Friday, October 23, he noted that internet infrastructure and banking services rely on similar encryption technologies. His remarks came as Bitcoin traded at $81,817, down 0.8% over the previous 24 hours.

Bitcoin continued trading above $81,000 overnight as large wallets accumulated or moved significant amounts of BTC. Market participants are now watching whether the cryptocurrency can maintain this support and begin a recovery amid growing security concerns, geopolitical tensions and uncertainty surrounding U.S. monetary policy.

Bitcoin News: AI Scams Are a Bigger Immediate Concern Than Quantum Attacks

Although AI can identify software vulnerabilities and produce sophisticated scams, current systems cannot break the mathematical protections securing Bitcoin private keys. CZ emphasized that Bitcoin relies on cryptographic principles also used to protect online banking and secure internet communications.

Quantum computing presents a different challenge over the longer term. The Quantum Alliance, a group of nine cryptocurrency companies, estimates that 6.4 million BTC, representing approximately 30% of the total supply, are held in addresses with publicly exposed keys. The estimate includes coins attributed to Bitcoin creator Satoshi Nakamoto.

Experts remain divided over when quantum computers could threaten existing cryptographic systems. Richard Carback, CTO of Postquant Labs, has identified 2028 as a possible timeframe, while other specialists have declined to provide a specific prediction.

Bitcoin developers are considering BIP-360, a proposal aimed at introducing quantum-resistant addresses. However, the proposal remains under development and has not yet been implemented.

For users today, phishing and impersonation attacks are more immediate risks. Stolen email addresses, phone numbers and purchase histories can help criminals impersonate cryptocurrency exchanges and wallet providers. AI enables attackers to produce personalized messages more quickly, making fraudulent communications increasingly difficult to identify.

Chainalysis reported that AI-enabled scams generated 4.5 times more revenue per scam than conventional schemes in 2025. Impersonation scams also increased by more than 1,400%, while overall cryptocurrency scam revenue reached an estimated $17 billion.

CZ’s latest warning followed another security alert on Wednesday, when he urged users to exercise caution online after two critical PHP vulnerabilities reportedly exposed millions of servers.

Bitcoin Price Analysis: Can BTC Reclaim $84,900?

Bitcoin buyers have defended the $81,000 region during two recent price declines. BTC fell to $80,940 on Thursday and $81,118 on Friday, remaining above its 50-day exponential moving average at $80,880 during both tests.

Wallet movements have also drawn attention. Since October 1, 40 newly created wallets have withdrawn 9,458 BTC, worth approximately $771.5 million, from market maker Wintermute. While newly created addresses do not automatically indicate fresh buying, the activity is consistent with a potential accumulation trend.

Bitcoin’s first significant resistance zone lies between $82,100 and $82,850, where four-hour moving averages converge with a previous swing high. A sustained move above this range could improve the short-term outlook.

The next major hurdle is $84,900, Wednesday’s high. Reclaiming that level would provide a stronger indication that Bitcoin is recovering. Conversely, a daily close below $80,394 could expose BTC to further downside, with the 200-day EMA near $76,200 representing the next key support.

Oil, Fed Decisions and U.S. Elections Could Shape BTC’s Direction

Oil prices remain a significant source of market uncertainty. Brent crude is trading near $114 per barrel as disruptions around the Strait of Hormuz and the U.S. blockade of Iranian oil continue. The New York Times reported that U.S. and Israeli forces had developed plans for possible renewed strikes against Iran after the midterm elections, although no operation had been approved.

Federal Reserve policy is another potential obstacle for Bitcoin’s recovery. The Fed raised its benchmark interest-rate range to 3.75%–4.00% in September. According to prediction-market data compiled by DeFi Rate, traders assigned approximately 94% odds to rates remaining unchanged on October 28, while the probability of another increase in December exceeded 70%.

The November 3 U.S. midterm elections could also influence the outlook for cryptocurrency regulation. Polymarket placed Democrats’ chances of winning the House at 92.5% and the Senate at 68.5%. A Democratic-controlled Congress facing a Republican White House could make new crypto legislation more difficult to pass next year.

For now, Bitcoin’s immediate challenge is to maintain support around $81,000 and break above resistance near $82,850. While AI is not currently capable of cracking Bitcoin’s cryptographic protections, cybersecurity threats remain significant for individual investors. Meanwhile, oil-market developments, Federal Reserve decisions and the approaching U.S. elections could determine whether BTC stages a meaningful rebound or faces another decline.