AI is spreading across crypto trading, heightening fears of displacement even as human traders remain responsible for key decisions. Artificial intelligence (AI) is becoming embedded across crypto trading, accelerating analysis, execution and optimization processes previously handled by people. Investors and trading companies are being pushed to confront how much decision-making can be automated without diluting control, accountability or human judgment. Even as some projects are reaching for more autonomous trading systems, most AI tools in crypto remain tightly constrained. Humans still define strategies, set risk limits and take responsibility for outcomes, as machines take on much of the bandwidth used for data-heavy tasks, such as research and monitoring. Read more
Crypto markets saw the biggest short squeeze since October as short positions were liquidated and Bitcoin outperformed the US dollar amid geopolitical uncertainty. Cryptocurrency markets staged their largest short squeeze since the selloff in early October, as a rebound in prices forced bearish traders to unwind positions and fueled hopes of a broader recovery. Short liquidations across crypto futures and perpetual contracts climbed to about $200 million on Wednesday, the highest level since about $1 billion in short positions was wiped out during the October market crash, according to data shared by analytics firm Glassnode. The company said that it was the biggest short liquidation event across the 500 largest cryptocurrencies since the Oct. 10 selloff. The rebound follows a significant recovery in investor sentiment, which has flipped from fear to greed for the first time since early October, Cointelegraph reported earlier on Thursday. Read more