Bitcoin Hits 8-Month High Above $86,000 as Capital Rotates from AI to Crypto

Bitcoin has surpassed $86,000, marking an eight-month high. Despite the failure of the Digital Asset Market Structure Act to pass a procedural vote in the U.S. Senate, the market has shown resilience, with Bitwise CIO Matt Hougan declaring the end of the "crypto winter." Analysts suggest that capital is rotating from AI stocks into the cryptocurrency market as AI trading becomes crowded. While the current rally is viewed as a recovery from deep corrections, the $90,000 level remains a critical threshold for confirming a sustained bull market.