Weekly results: miners are massively pivoting to AI, bitcoin tests support, and law enforcement raided "Gorbushka"
The outgoing week was rich in events that could determine the medium-term trajectory of the market. While miners are panicking and pivoting to AI infrastructure, selling off mined coins, Bitcoin is once again testing psychologically important levels. At the same time, pressure on the crypto market in Russia is intensifying, and cybersecurity is becoming increasingly intertwined with artificial intelligence.
Bitcoin: Return to August Lows
July's optimism has faded. On August 14, the leading cryptocurrency fell below the $63,000 mark, returning to levels from the start of the month, even though just a week earlier it had closed near $65,200. Notably, signals at the beginning of the week were the opposite: CryptoQuant analysts pointed to resistance in the $67,000 and $72,000 zones, while BlackRock spoke of a shift in investor sentiment and a decoupling from the stock market.
However, the market structure, according to Glassnode estimates, remained "compressed": the price was stuck between the median realized price of $63,000 and the cost basis of short-term holders at $68,700. A break below the lower boundary, as I warned earlier, opens a direct path to $58,500. Over the seven days, Bitcoin lost 3.3%, settling near $63,000. Ether fell 2.1% to $1,880, and only the HYPE token from Hyperliquid showed growth of nearly 4.7%.
Institutional demand also weakened: spot Bitcoin ETFs recorded their largest weekly outflow since early July at $398.7 million. Ether funds lost $2.2 million after a substantial inflow the previous week. The Fear and Greed Index remained frozen in the "fear" zone at 34 points, and the total market capitalization slipped from $2.22 trillion to $2.17 trillion.
Miners: New Economy or Capitulation?
A true tectonic shift occurred in the mining industry. Selling off coins is no longer an anti-crisis measure—it is a deliberate strategy of transitioning to AI. Within a week, four major companies announced restructuring. Former Bitfarms, now Keel Infrastructure, fully decommissioned its U.S. capacity, preparing it for AI data centers. Riot Platforms signed a 20-year, $9.1 billion contract with Anthropic, sold 4,300 BTC, and raised up to $573 million to build an AI campus in Texas.
MARA's scale is striking: in the first half of the year, the company sold 23,093 BTC for approximately $1.6 billion. They were joined by Hyperscale Data, which sold 685 BTC for $43 million. The economics here are simple and ruthless: miners' revenue from fees has fallen to a ten-year low, and the realized hash rate of public companies has dropped by 21.2% over three quarters. Bitcoin mining is becoming unprofitable, and AI looks like a more attractive business.
AI: Hackers' Weapon and Defenders' Weak Spot
It is telling that neural networks work equally for both sides of the conflict. Defenders, including Bitcoin Red Team, have faced restrictions on access to OpenAI tools and are forced to return to Chinese models. Attackers, meanwhile, are unrestricted: the North Korean group Kimsuky is actively using local AI systems against crypto companies, and Taiwan has revealed details of a hack on government institutions using AI agents.
Particular attention was drawn to the situation with the Boltz service, whose founders handed the project over to "Bitcoin veterans" after a series of attacks using neural networks. At the same time, the July campaign against Coldcard hardware wallets appears to have ended: according to Galaxy Research estimates, hackers withdrew at least 1,778.84 BTC ($112.7 million), and no new incidents have occurred since August 6. Meanwhile, Trezor and SafePal reported data leaks affecting tens of thousands of users through breaches of logistics partners.
Russia: Pressure on Exchangers and a Nonexistent Registry
Moscow law enforcement conducted mass searches at "Gorbushka" in connection with a case involving crypto exchangers. This coincided with stricter banking compliance: major banks began requiring legal entities to confirm that their counterparties are included in the Central Bank's registry of digital currency exchange operators. The problem is that such a registry does not yet exist—it is only planned to be created in the fall. As I have repeatedly noted, this situation is a classic example of regulatory uncertainty that hits legitimate businesses. The situation will become clearer after September 1, when the "On Digital Currency" law takes effect, but until 2027 we face a transition period with numerous legal conflicts.
Institutional Players and Legislation
Against this backdrop, positive news comes from traditional markets. Israel's largest bank, Leumi, announced a partnership with Galaxy Digital for trading Bitcoin, Ethereum, and Solana. Norway's sovereign wealth fund disclosed a stake in BitMine worth $81.9 million. However, the likelihood of the Clarity Act passing in the U.S. is estimated at only 10% after the Senate vote was postponed to September 15.
My verdict: the market is in a consolidation phase, and a break below $63,000 would be a bearish signal. But the more important trend is the mass exodus of miners into AI. If this trend continues, we could see a decline in mining difficulty and, consequently, a fundamental revaluation of Bitcoin's worth. Keep an eye on the hash rate—it is currently more important than the price.