The current bitcoin (BTC) bear market is driven in part by global liquidity absorbed by AI investments, according to Julian Liniger, co-founder and CEO of Swiss bitcoin brokerage Relai. Still, he expects that capital to rotate into bitcoin once the AI buildout cycle slows.
Speaking with The Block's Gareth Jenkinson at BTC Prague on Thursday, Liniger said investors are pouring capital into investments tied to companies such as Anthropic, OpenAI, and SpaceX, leaving little room for other assets.
"All the liquidity is being sucked up by this [AI] hype. People need to sell something for it. It's bitcoin and most other assets," said Liniger.
However, he expects the current AI buildout cycle to continue through this year and next before slowing and potentially redirecting capital toward bitcoin.
"What will happen is the AI hype will slow down," said Liniger. "The money will be used to pay to build out the whole AI industry this year and next year and then there will be a lot of productivity gains through that… A lot of people will make a lot of money with a return on these investments… and then this money will flow naturally into bitcoin."
The bitcoin bear market has weighed on Relai's business, though Liniger said the company continues to grow steadily.
Liniger said that new user acquisition has become harder and more expensive, but the app still draws thousands of downloads per month and onboards roughly 1,000 to 2,000 new active users monthly.
"Still, it's going. But it's much harder… much more difficult to get people convinced about bitcoin because they really have not much money right now," he said.
Relai is a bitcoin-only self-custodial app based in Switzerland. The company obtained its MiCA license in France in October 2025 and raised $12 million in a Series A funding round in December 2024, bringing its valuation to $72 million.
Bitcoin (BTC) edged up 0.8% over the past 24 hours to trade at around $63,375, according to The Block's BTC price page. The world's largest cryptocurrency remains below its all-time high of roughy $126,000 recorded in October 2025.
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