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Is BTC in bear market rally or a ‘supercycle’?

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Is BTC in bear market rally or a ‘supercycle’?

Bitcoin (BTC) climbed 3.5% this week to hit $81,325 on Tuesday, its highest level since January. But is Bitcoin’s multi-month highs just a bear-market rally, or has it already bottomed to resume the so-called “supercycle,” as some traders suggest?

Key takeaways:

  • Bitcoin may rally to $180,000–$200,000 as institutional accumulation offsets bear-market pressure
  • Selling pressure remains firm near the $80,000–$82,000 area.

BTC/USD daily price chart. Source: TradingView

Bitcoin “supercycle” thesis targets $250,000 next

Bitcoin’s rebound now stands at 35.70% from its February low of $59,930. Still, BTC remains roughly 36% below its October 2025 record high near $126,200. This has sparked debate among traders, with some analysts predicting a return to new all-time highs this year.

Bitcoin is not in a typical boom-bust cycle but transitioning into its first “supercycle,” according to analyst PlanC.

In a Tuesday post, he projected a move to above $250,000 by 2027–2028 from the $16,000 bear-market low in November 2022.

His framework splits the current cycle into three phases: an initial rally to $126,000 (already achieved), a mid-cycle correction toward $60,000 (done, as well), and a final expansion phase targeting new highs above $250,000.

Bitcoin supercycle illustration. Source: PlanC

The key distinction, he noted, is that the recent ~50% drawdown resembles prior mid-cycle resets, such as 2020 and 2021, rather than the deeper 70%–90% bear markets seen in 2014, 2018, and 2022.

In the current scenario, institutional demand is absorbing over 500% of the new daily BTC supply, turning sharp crashes into softer corrections.

Still, the thesis hinges on Bitcoin holding above its mid-cycle floor near $60,000. A breakdown below that level would invalidate the supercycle theory and reopen the case for a prolonged bear phase.

“I think once BTC clears the mid 80’s and holds the chances of seeing new highs are quite high,” analyst Pentoshi said in a Tuesday post, citing the ongoing supply squeeze.

He added:

“In terms of probabilities, I think the lows are in and we could see BTC trade as high as $180k between this year and next.”

Elliott Wave setup hints that Bitcoin’s bottom is in

Bitcoin’s latest rebound has strengthened the case that its correction from the January 2025 high has ended, according to trader Decode’s Elliott Wave analysis.

The chart shows BTC likely completing a three-part A-B-C correction, with the final “C” wave bottoming near $60,000. In Elliott Wave terms, that usually marks the end of a corrective phase and can precede a new five-wave advance.

BTC/USD weekly chart. Source: TradingView/Decode

Decode notes that Bitcoin has now moved back above its November low, even if only slightly. That overlap invalidates bearish wave counts that expected “one more low” within the same downward impulse.

As a result, the bearish case has narrowed. BTC could still be inside a larger correction, but the cleaner setup now suggests the recent $60,000 area was likely a cycle low.

A decisive reclaim of the $78,000–$80,000 range as support would further boost the odds of a BTC price rally toward $90,000–$100,000 next.

Sellers step in near a key resistance confluence

Bitcoin’s rebound is running into a familiar resistance cluster, raising the risk of a short-term pullback.

As of Tuesday, BTC is testing the confluence of its 200-day exponential moving average (200-day EMA, the blue line) and the upper boundary of a bear flag channel near the $80,000–$82,000 region.

BTC/USD daily chart. Source: TradingView

This resistance confluence increases the odds of a Bitcoin pullback in the coming days, with the downside target sitting around the flag’s lower trendline near the $70,000–$72,000 area.

A breakdown below the bear flag’s lower trendline risks pushing the price under $50,000.

A similar setup played out in January, when Bitcoin rallied into its 200-day EMA after a prolonged downtrend but failed to break higher. The rejection triggered another leg down before a more durable bottom eventually formed.

Also, the 200-day EMA served as strong resistance to Bitcoin’s bear market rallies in the past, particularly in 2018 and 2022, as highlighted in the chart shared by analyst Jason Pizzino.

Source: X

BTC’s price dropped by an average of 40% after testing the 200-day EMA as resistance during the 2018 bear market. In 2022, the average drawdown was around 35.5%.

Related: Bitcoin short-term cost basis approaches profitability, but $80K must flip to support first

BTC price may decline to the $48,000–$52,000 range if the fractal repeats, aligning with the bear flag downside target.

This article is produced in accordance with Cointelegraph’s Editorial Policy and is intended for informational purposes only. It does not constitute investment advice or recommendations. All investments and trades carry risk; readers are encouraged to conduct independent research.

Temenos Expands its SaaS Offering on AWS

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Temenos Expands its SaaS Offering on AWS

WHY THIS MATTERS: This expansion by Temenos and AWS is a direct response to the banking sector’s accelerating pivot toward composable banking architecture. Financial institutions globally are no longer forced to undertake monolithic, multi-year core replacement projects. By offering digital front-office tools and payments capabilities alongside existing core functions as a single, flexible Software-as-a-Service solution, Temenos is drastically lowering the barrier to modernization. The value proposition is simple and urgent: banks can incrementally adopt new capabilities at their own pace, focusing on innovation and customer experience rather than infrastructure management. This shift—away from proprietary hardware and toward a cloud-native, consumption-based model—allows established banks to achieve the speed and agility of digital challengers while ensuring regulatory alignment, data sovereignty, and robust security through the AWS platform. It’s a significant moment that validates the market’s demand for flexible, end-to-end banking technology

Temenos (SIX: TEMN), a global leader in banking technology, today announced an expansion of its SaaS offering on Amazon Web Services (AWS), adding Digital Banking and Payments to its existing Core Banking SaaS on AWS.

With this expansion, financial institutions globally can now deploy end-to-end banking capabilities – spanning core, digital and payments – as Temenos SaaS on AWS. This gives banks more choice while supporting integrated operations and consistent experience across products, channels and markets.

Temenos SaaS on AWS offers composable solutions to help banks modernize across retail, business and corporate banking. Banks can adopt individual components, choose an end-to-end enterprise service, or combine both. Temenos can integrate with banks’ existing systems, or deliver a pre-configured, pre-integrated deployment for faster time to value.

Adopting Temenos SaaS means banks can focus on customers and innovation, not managing technology, helping them to launch new products faster and adapt swiftly to market changes. AWS infrastructure is designed to support sensitive workloads and is backed by a broad set of security standards and certifications used across regulated industries.

Barb Morgan, Chief Product & Technology Officer, Temenos, commented: “We’re delighted to expand our Temenos SaaS offering on AWS, further strengthening our SaaS capabilities and giving banks greater flexibility in deploying Temenos solutions as SaaS in line with their technology strategy and market requirements.”

Scott Mullins, Managing Director, Worldwide Financial Services, AWS, said: “Expanding Temenos Digital Banking and Payments on AWS enables institutions to adopt new capabilities at their own pace. Whether modernizing incrementally or going end-to-end, Temenos SaaS on AWS meets banks where they are — with the security, scalability and regulatory alignment that financial services demands.”

David Albertazzi, Executive Advisor & Director of Retail Banking & Payments Practice, Datos Insights, said: “Temenos’ expansion of its SaaS capabilities on AWS to include digital banking and payments reflects a broader industry shift toward more composable, cloud-based banking architectures. For financial institutions, this approach introduces additional flexibility in how core, digital, and payments capabilities can be deployed and integrated. As banks continue to modernize their technology environments, considerations such as security, data sovereignty, and regulatory alignment remain central to platform selection and implementation strategies.”

Temenos and AWS have collaborated since 2019, supporting a wide range of financial institutions globally, from established banks to digital challengers. Banks that have deployed Temenos solutions on AWS include MidWestOne Bank in the US, Credem in Italy, WeLab Bank in Hong Kong, and Bank ABC’s Ila Bank in Bahrain.

AWS offers broad geographical coverage for Temenos SaaS, helping banks address local data residency considerations and achieve high availability within their chosen region. Temenos SaaS on AWS is aligned with the AWS Well-Architected Framework, supporting high standards of operational excellence, security, reliability, performance efficiency, cost optimization, and sustainability.

FF NEWS TAKE: This partnership strengthens the trend toward fully cloud-native, end-to-end banking solutions, absolutely moving the needle for large-scale modernization. The key takeaway is the increased optionality for banks to adopt a truly composable architecture. What we must watch for next is the market uptake—specifically, which major institutions choose to deploy a combination of core, digital, and payments functionality simultaneously, and how quickly they achieve tangible time-to-market advantages over their competitors.

Michael Saylor’s Strategy (MSTR) booked massive Q1 loss as BTC tumbled

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Michael Saylor’s Strategy (MSTR) booked massive Q1 loss as BTC tumbled

Strategy (MSTR) reported a net loss of $12.54 billion in the first quarter of 2026, as bitcoin BTC$80,592.79 fell from around $87,000 on Jan. 1 to roughly $68,000 by March 31.

Since the start of the second quarter, bitcoin has rebounded to above $80,000, while Strategy has continued to accumulate coins at a rapid pace, potentially setting the company up to post a sizable profit in the April-June period.

Led by Executive Chairman Michael Saylor, the company, the largest corporate holder of bitcoin, currently owns 818,334 BTC, acquired at an average price of $75,537.

Strategy ended the first quarter with $2.25 billion in cash, enough to cover approximately 18 months of preferred stock dividends.

MSTR shares are higher by nearly 20% year-to-date, though they remain lower by more than 50% on a year-over-year basis.

With first-quarter results largely expected and likely long ago priced in, investor focus will shift to the 5 p.m. ET earnings call, where Saylor and his leadership team are likely to outline their strategy.

Bitcoin Price Tops $81,000 For First Time Since January

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Bitcoin Price Tops $81,000 For First Time Since January

Bitcoin price broke above $81,000 during Asian trading hours and early U.S. hours today, its highest price since late January and the latest sign that the market has moved past a brutal first-quarter stretch that bottomed near $60,000. 

The move came on the back of several forces hitting at once: a flood of institutional money into ETFs, a shift in Middle East tensions, and a derivatives market that had been loading up for a run past $80,000 for weeks.

The structural setup for this was built in April. U.S. spot Bitcoin ETFs pulled in $2.44 billion in net inflows last month — the strongest monthly figure since October 2025, when Bitcoin price hit its $126,000 all-time high. BlackRock’s IBIT alone captured $1.71 billion of that total, a 70% market share that keeps widening the gap between the fund and every other ETF in the space. 

Strategy, the Michael Saylor-led firm, also confirmed several massive Bitcoin purchases in April, bringing its total holdings to 818,334 BTC.

The geopolitical backdrop did the rest of the work. Iran has allegedly been charging oil tankers $1 per barrel in Bitcoin to pass through the Strait of Hormuz since mid-March, a toll the country chose in crypto because the funds are harder to freeze under sanctions. A single loaded supertanker carrying two million barrels generates a $2 million transit fee, all settled on-chain. 

By Monday, a disputed Iranian missile claim briefly pulled BTC back toward $79,000, but it recovered  overnight after Trump’s “Project Freedom” announcement — a U.S. military operation to escort commercial vessels through the strait — cooled the situation and sent crude futures down nearly 5%.

Bitcoin price catalysts this week

The options market tells a story of traders who saw this coming. Nomura’s Laser Digital flagged in a Tuesday research note that desks had built cheap upside call ratio structures over the past several weeks, and that a sustained break above $80,000 would flip Bitcoin’s risk reversal indicator from negative to positive. 

On Deribit, the single largest open interest position across all options contracts is an $80,000 strike call expiring May 29, with 7,493.7 BTC behind it. Calls hold 58.69% of total options open interest versus 41.31% for puts, though near-term put volume has picked up as traders hedge the tail risk.

Two catalysts this week could push Bitcoin price in either direction. Strategy’s earnings release today will give the market its first look at how the company accounts for Bitcoin at current prices, while Friday’s nonfarm payrolls report will shape expectations for Federal Reserve policy through the summer. 

Bitcoin price is up 6.2% on the week, currently trading at $81,035.

Tokenization won’t disrupt banking rails but improve them, Wall Street executives say

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Tokenization won’t disrupt banking rails but improve them, Wall Street executives say

Miami Beach, FL — Tokenization is not replacing the system overnight, but it is steadily reshaping the plumbing underneath, Wall Street executives said at Consensus 2026 in Miami.

Digital asset leaders from Citi, JPMorgan and DTCC said during a panel discussion that blockchain-based rails are moving into production, with real volumes and real clients shaping how the technology is deployed.

A year ago, Citi’s tokenized deposit system was handling millions. “Now we’re moving billions,” said Ryan Rugg, who leads digital assets for the bank’s treasury and trade solutions unit.

The demand, she said, is coming from clients who want to move money around the clock, not just during banking hours.

JPMorgan is seeing a similar pattern. Its blockchain platform, Kinexys, has processed more than $1 trillion in transactions, said Kara Kennedy, who leads market development for the bank’s digital assets unit.

The focus is less on building parallel systems and more on stitching blockchain rails into existing infrastructure to enable faster settlement and continuous operations, she said.

DTCC, which sits at the center of U.S. market plumbing, is taking a longer view. The firm is working to bring parts of its $150 trillion securities infrastructure onto a shared digital layer, with initial rollout plans already underway.

“You can’t just replace what exists,” said Nadine Chakar, who heads digital assets at DTCC. “This is an evolution.”

That approach reflects a broader shift in the market. Early tokenization efforts often looked for problems to solve. Now, firms are targeting specific pain points, especially in areas such as collateral, cross-border payments, and liquidity management.

For large corporations, the ability to move funds in real time — across time zones and holidays — is changing how treasury functions operate. Instead of pre-positioning cash days in advance, firms can react instantly to margin calls or investment opportunities.

Still, the panelists pushed back on the idea that blockchain will remove intermediaries altogether. Core functions like risk management, compliance and settlement guarantees remain hard to replicate in fully decentralized systems.

“We will always need some level of intermediation,” Chakar said.

Crypto-native players, however, see a longer arc. Evan Auyang, president at Animoca Brands, said the industry is still in a transition phase, with blockchain gradually proving its efficiency before a bigger structural change.

“The nature of blockchain is that it’s transformative,” Auyang said, pointing to faster processes like loan approvals that can shrink from weeks to days. But he added that fully native onchain markets are “not ready yet,” given the scale of existing systems and regulatory constraints.

At the same time, he argued, the direction is hard to ignore. “If there’s efficiency and cost savings, it will be adopted,” he said, adding that traditional finance and decentralized systems are now “converging.”

What Makes a Trading Course Effective in 2026

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What Makes a Trading Course Effective in 2026

Most people who try to learn trading hit the same wall. They watch a lot, understand parts of it, and still can’t connect everything into something usable. The issue is not effort. It’s how the learning is built.

You can see it in the way Brainsor.com is structured, where the focus shifts from consuming content to actually building understanding step by step. In 2026, that difference matters more than anything else.

A modern trading course is not about how much you can consume. It’s about whether you can take what you learned and use it when it actually counts.

Structure Is Everything Now

Most beginners don’t fail because trading is too difficult. They fail because their learning process has no structure.

One day it’s indicators. The next day it’s price action. Then something about macro. Everything sounds useful, but nothing connects.

A proper course removes that randomness. It gives you a sequence where each step builds on the previous one.

Strong programs usually follow a pattern like this:

  • Fundamentals first, without overload
  • Gradual move into real market behavior
  • Clear transitions between topics
  • Repeated reinforcement of earlier concepts

This kind of structure keeps things consistent. You’re not guessing what to learn next.

That’s one of the reasons Brainsor works well in this space. The learning path is already defined, so instead of jumping between ideas, you move through a system that builds understanding step by step.

Watching Is Not Learning

Understanding something while watching it is not the same as being able to use it.

This is where most courses fail. They explain things clearly, but they don’t train decision-making.

Real learning starts when you are forced to think.

An effective course pushes you into that mode:

  • You analyze instead of just observe
  • You answer instead of just listen
  • You repeat ideas in different situations
  • You make decisions, even small ones

That is how information turns into skill. With Brainsor.com, this is part of the process, not an extra feature. You’re constantly working through the material instead of passively going through it.

It Has to Reflect Real Markets

Markets today don’t behave in a clean or predictable way. They react to news, liquidity shifts, and sentiment changes almost instantly.

If a course only shows ideal setups, it doesn’t prepare you for real conditions.

You need to understand:

  • How price reacts to real events
  • How volatility changes behavior
  • How setups fail, not just how they work
  • How different markets influence each other

Without that, there is always a gap between theory and reality. Brainsor.com handles it well. The material doesn’t stay in theory. It connects ideas to what actually happens in current markets.

Simplicity Wins Over Complexity

There is a common assumption that more complexity means more value. More indicators, more strategies, more layers.

In practice, it does the opposite. It slows you down and makes decisions harder. Clear thinking leads to better execution.

An effective course focuses on:

  • Fewer concepts, explained properly
  • Clear situations where they apply
  • Understanding what to ignore
  • Consistent logic across all topics

This makes decision-making faster and more stable. And that approach is visible inside Brainsor.com. Instead of adding more layers, it focuses on making core ideas clear enough to actually use.

Feedback Changes Everything

Learning without feedback feels easy, but it hides gaps.

You move forward thinking you understand something, but you never really test it.

Good courses don’t allow that. They build in checkpoints.

This usually includes:

  • Self-assessment tools
  • Quick validation tasks
  • Structured progress checks

It keeps your understanding grounded and prevents you from moving forward with weak areas.

Psychology Is Not Optional

Even with solid knowledge, inconsistent decisions lead to inconsistent results.

Psychology plays a direct role in that process. Not in terms of motivation, but in how decisions are made under pressure and how stable the overall approach remains.

A strong course does not isolate this part. Behavior and analysis develop together, not separately.

Platforms like Brainsor.com approach it as part of the system rather than a standalone topic, shifting the focus from understanding markets to actually learning how to operate within them without relying on impulse.

What Actually Makes a Course Worth It

At a glance, most courses look similar. Videos, lessons, explanations.

The difference shows up in how they affect your thinking.

A course is worth your time when:

  • It removes noise instead of adding more
  • It builds a clear way to analyze markets
  • It forces you to apply what you learn
  • It helps you catch mistakes early

Without that, it’s just information.

When Learning Finally Starts Making Sense

There’s a point where things stop feeling random.

You stop jumping between ideas. You start seeing how everything connects. Decisions feel more controlled, even when the market is not.

That shift doesn’t come from watching more content. It comes from learning in a way that builds structure and forces application.

That’s what separates modern trading education from everything that came before.

Drift outlines a recovery plan for users after $295 million DPRK-linked exploit

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Drift outlines a recovery plan for users after $295 million DPRK-linked exploit

Drift Protocol announced Tuesday the implementation of a recovery plan for users affected by a $295 million exploit on April 1, which it attributed to the North Korea state-backed DPRK hacking group identified by forensic firm Mandiant.

The attack led the protocol to suspend trading and borrowing immediately after the exploit. Drift said “the majority of stolen assets remain traceable and contained with limited successful off-ramping by the attacker,” with about 130,259 ETH (roughly $31 million) concentrated across four monitored wallets.

Drift’s statement explains that the recovery framework centers on issuing a token representing verified user losses. “Each recovery token represents $1 of verified loss,” Drift said, adding that holders would be able to redeem based on the value of a recovery pool funded over time.

That pool starts with roughly $3.8 million in remaining protocol assets and is expected to grow through exchange revenue, up to $127.5 million in support from Tether tied to performance, and up to $20 million from partners, Drift said. The pool will accrue until it matches total losses of about $295.4 million, at which point tokens can be redeemed at full value, it added.

Drift also said some funds have already been frozen, including about $3.36 million in USDC, while additional assets remain delayed in cross-chain transfers. Legal efforts to seize and reissue funds are ongoing, it said. The protocol also launched a public bounty offering 10% of recovered assets.

Drift plans to relaunch in the second quarter as a “security-first” exchange with changes including new multisig controls, time-locked operations, key rotation and reduced product scope focused on perpetuals trading.

“The Drift team is taking considered measures to ensure that users are made whole,” the team said, adding that final decisions will be subject to governance votes.

Drift’s recovery plan announcement comes a week after Aave said it was spearheading a coordinated DeFi recovery effort to rescue Kelp DAO, the second largest DeFi exploit this year, which was also carried out by North Korean-backed hackers. The so-called Lazarus group drained nearly $280 million. In this case, Aave has been able to garner span donations, deposits, and credit lines from across the crypto space.

Anatoly Yakovenko says that major ‘Alpenglow’ upgrade could arrive next quarter,

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Anatoly Yakovenko says that major ‘Alpenglow’ upgrade could arrive next quarter,

Solana co-founder Anatoly Yakovenko said a major upgrade to the network, dubbed Alpenglow, is expected to arrive as soon as this year, potentially within the next quarter, marking what he described as a pivotal step in the blockchain’s technical evolution.

“So the Alpenglow release is basically due sometime this year, I think next quarter,” Yakovenko said during a fireside panel at Consensus Miami 2026. “That, to me, is this exciting step in the evolution of the protocol.”

In simple terms, Alpenglow is about making Solana faster, more predictable and more secure at its core. Blockchains like Solana rely on a network of computers to agree on the order of transactions. Today, that process can introduce delays or uncertainty depending on network conditions.

Alpenglow aims to tighten those guarantees. Yakovenko described a system where transaction confirmations approach the physical limits of how fast information can travel, essentially, near the “speed of light” around the globe. For users and developers, that means quicker finality (knowing a transaction is permanently settled) and a more reliable foundation for building applications.

He framed the release of Alpenglow as a transition from Solana’s early innovations to a more mature phase focused on guarantees around performance and reliability.

The upgrade builds on Solana’s original design, which emphasized high throughput, like the ability to handle large volumes of transactions, but shifts focus toward consistency and timing precision. That matters for financial applications, where milliseconds can affect trading, payments or other time-sensitive activity.

If successful, Alpenglow could strengthen Solana’s pitch as infrastructure for global-scale financial systems, where both speed and certainty are critical.

“That, to me, is this exciting step in the evolution of the protocol,” Yakovenko said.

Read more: Solana Set for Major Overhaul After 98% Votes to Approve Historic ‘Alpenglow’ Upgrade

Anthropic Teams With Wall Street Firms on AI Venture

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Anthropic Teams With Wall Street Firms on AI Venture

Anthropic is launching a new venture with financial services firms Blackstone, Hellman & Friedman and Goldman Sachs to sell AI tools to businesses.

The new entity will operate as a standalone company, with Anthropic’s engineering and partnership teams embedded within its structure.

The venture is also backed by a group of asset managers including Apollo, Sequoia Capital and General Atlantic. As part of the deal, the partners will roll out Anthropic’s Claude AI models directly into businesses, beginning with companies within their respective portfolios.

Krishna Rao, Anthropic’s CFO, said the deal reflects growing demand for Claude across enterprise customers and is designed to support wider deployment and scaling.

“Our partnerships with the world’s leading systems integrators are central to how Claude reaches large enterprises,” he said in a blog post. “This new firm brings additional operating capability to the ecosystem, alongside capital from leading alternative asset managers.”

Related:Mistral Pioneers Sovereign AI in Europe

Jon Gray, president and COO of Blackstone, said in a press release: “We believe [the venture] can help address one of the most significant bottlenecks to enterprise AI adoption by expanding the number of highly skilled implementation partners.”

Key use cases are expected across sectors including healthcare, manufacturing, financial services, retail, real estate and infrastructure — aimed at bridging the current skills gap hindering AI systems’ scale up.

“This is a rare convergence: massive market need, the unmatched AI technical capability of Anthropic, and a consortium of investors with the reach to scale fast,” Patrick Healy, CEO at Hellman & Friedman, added. “The near-term value to our portfolio companies is substantial.”

The move is the latest in Anthropic’s efforts to pull ahead in the enterprise AI race, amid intensifying competition with rivals such as OpenAI.

By embedding Claude into a network of investor-owned companies, the AI model maker is solidifying its position amongst mid-market and enterprise customers.

Shortly after the details of Anthropic’s venture emerged, Bloomberg reported that OpenAI has launched its own joint venture focused on corporate AI adoption — The Deployment Company. The firm reportedly has backing from 19 investors, including TPG, Brookfield Asset Management, Advent and Bain Capital.

K Wave Abandons Bitcoin Treasury Plan, Shifts To AI Infrastructure Play With $485M War Chest

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K Wave Abandons Bitcoin Treasury Plan, Shifts To AI Infrastructure Play With $485M War Chest

K Wave Media is abandoning its high‑profile bitcoin treasury plan and recasting itself as an AI infrastructure company, backed by a potential war chest of up to $485 million and a cleaner balance sheet. 

The Nasdaq‑listed firm intends to shed its legacy media operations, erase roughly $48 million of debt and pursue a rebrand as Talivar Technologies as it chases stronger margins in data centers and GPU compute.

On Monday, K Wave said its board approved the sale of Play Co., its largest wholly owned subsidiary, back to the unit’s previous owner, a transaction expected to remove about $48 million in debt and related contingent liabilities if shareholders sign off at an annual meeting planned for early July. 

Management said the move will leave the company with “minimal remaining liabilities” and far greater flexibility to deploy capital into new lines of business.

That capital will come from an amended securities purchase agreement with Anson Funds, a structured equity financier that last year committed up to $500 million to support a bitcoin treasury strategy at the company. 

Under the revised deal, K Wave can now direct the remaining $485 million from future share sales under the facility into AI infrastructure, including data center build‑outs, GPU compute and rental operations, and acquisitions or partnerships across what it calls the AI infrastructure value chain.

Bitcoin to AI pivot

The pivot reverses a June 2025 plan that helped send K Wave’s stock soaring after the company said it would emulate corporate bitcoin treasuries using the Anson facility. Less than a year later, that narrative has given way to the market’s current obsession, with AI infrastructure contracts offering reported margins above 85% and multi‑year revenue visibility, compared with bitcoin miners’ production costs near $80,000 per coin in late 2025 and more volatile cash flows.

Public investors have punished the strategic U‑turn. K Wave shares dropped over 25% on Monday and extended losses in premarket trading Tuesday after the company detailed its amended capital plan and AI push. The stock reaction underscores skepticism toward yet another listed firm pivoting from a struggling core business into whatever theme capital markets reward.

Chief Executive Ted Kim framed the overhaul as a necessary reset that could turn K Wave into “a meaningful participant” in the AI build‑out now underway. 

The company says it will seek targeted acquisitions and partnerships that support vertical integration across AI infrastructure, aiming to lock in long‑term contracted revenues and structurally higher margins over time.

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