Bitcoin Sell-off Theory Points to Spacex, OpenAI, Anthropic IPO Mania Draining Crypto Cash

Bitcoin Bleeds as Spacex IPO and AI Demand Spark Capital Rotation Debate

Bitcoin’s steep weekly drop has sparked a broader debate over what is driving the latest sell-off, with some investors pointing to capital rotation rather than crypto-specific weakness. Jeff Park, a Bitwise Asset Management adviser and partner at Procap BTC, argued on X that bitcoin may be funding demand for Spacex, Anthropic, and other coveted opportunities.

Several others, including Michael Saylor, Ted Pillows, Stephane Ouellette, Mark Dowding, Thierry Borgeat, and Brian HoonJong Paik have also framed the weakness through capital rotation, AI demand, or liquidity pressure.

The argument treats bitcoin as capital that investors can move quickly when another scarce trade demands cash. BTC offers deep liquidity, constant trading, and broad institutional access. Those traits can become pressure points when investors need funds for private-company allocations, ETF redemptions, or fresh equity issuance. In this view, investors are raising cash for new opportunities rather than abandoning bitcoin.

Park wrote:

“I don’t think bitcoin is selling off because of MSTR. I think it’s being tapped to fund the market’s upcoming hot ball of money trades: Spacex, Anthropic, whatever else everyone suddenly ‘has to own.’”

Strategy Inc. (Nasdaq: MSTR) added a symbolic spark after selling 32 BTC for about $2.5 million, its first bitcoin sale since 2022. The sale was small beside its broader holdings, but it challenged the “never sell” psychology behind the corporate bitcoin treasury trade. Bitcoin later fell below $60,000, while Strategy shares also weakened. That sequence helped shift attention from one company’s sale to a wider liquidity debate.

Elon Musk’s Spacex stands at the center of the capital-rotation debate. The company is seeking to raise up to $75 billion through what could become the largest initial public offering (IPO) in history, with a projected market value near $1.77 trillion. Shares are expected to price on June 11 before beginning public trading on June 12.

OpenAI has also emerged as a potential public-market heavyweight, with reports suggesting it is preparing for an IPO that could value the company near $1 trillion. Anthropic‘s anticipated IPO has generated similar interest after a series of funding rounds pushed its private-market valuation sharply higher.

Saylor and Other Market Voices See Rotation, Not Impairment

Strategy co-founder and executive chairman Michael Saylor offered a more bullish version of the rotation thesis. On June 4, he noted that capital markets had funded about $400 billion of AI buildout over six months, while bitcoin ETFs saw about $4 billion of outflows since May 14. Saylor described the move as capital rotation rather than bitcoin impairment. He later said AI demand was creating temporary pressure across global markets, while strengthening the case for scarce, liquid digital capital.

Crypto analyst Ted Pillows advanced a similar argument on May 27, writing on X: “AI will continue to drain liquidity from crypto. Especially with the upcoming IPOs.” Stephane Ouellette, chief executive officer and co-founder of FRNT Financial Inc., reinforced the theme in comments reported by Bloomberg on June 4.

“Many retail traders expecting to buy the Spacex IPO or subsequent AI IPOs or financings, are similar profiles to BTC holders. I’d speculate that some of the more extreme weakness today in BTC was pushed by investors trying to raise cash to finance their purchases of, particularly, the Spacex IPO next week,” Ouellette stated.

Mark Dowding, Bluebay Chief Investment Officer at RBC Global Asset Management, also pointed to market fatigue as crypto holders chased new growth opportunities. Bluebay is RBC’s fixed-income investment platform, giving his comments weight across macro and liquidity markets. Financial analyst Thierry Borgeat maintained that large equity issuance from companies including Google, Spacex, and OpenAI was pulling capital from liquid risk assets such as bitcoin. Brian HoonJong Paik, CEO of SmashFi, framed BTC selling for Spacex exposure as exit- liquidity rotation.

Park added:

“This means in the future, the correlation breakdown will itself become the fuel.”

His comment extended the discussion beyond the current sell-off. He suggested that if investors repeatedly move capital between bitcoin and high-demand opportunities such as AI companies, future correlation breakdowns could become an important force in market behavior. In that scenario, the divergence itself may influence how investors allocate capital.