After a turbulent 2026 that saw cryptocurrencies slide into a bear market while AI stocks surged, Utkarsh Ahuja, managing partner and founder of Moon Pursuit Capital, believes the worst is over for digital assets. In an interview with Invezz, Ahuja outlined a cautiously optimistic outlook, predicting a gradual recovery rather than an explosive rally.
Ahuja, whose Miami-based firm focuses on digital assets, AI, and emerging technologies, expects Bitcoin to close 2026 between $85,000 and $100,000. He cites improving liquidity conditions and stabilizing institutional flows as key supports. "We've moved past the bottom of this corrective cycle and entered the early stages of a new bull market," he said, though he cautioned that consolidation and pullbacks are likely along the way.
2027 Forecast: $120K-$150K
Looking ahead to 2027, Ahuja is constructive on Bitcoin, with a potential price range of $120,000 to $150,000 as the bull market matures. He identifies global liquidity as the most important driver, followed by institutional capital flows. While regulatory developments remain critical for long-term adoption—particularly around custody, stablecoins, and institutional participation—Ahuja notes that favorable policies alone won't sustain a rally without supportive monetary conditions.
He also expects Bitcoin's growing acceptance as a strategic portfolio allocation among institutions and family offices to become an increasingly important source of demand.
Altcoin Winners: Hyperliquid, Solana, Zcash
For altcoins, Ahuja believes 2027 will reward projects with real economic activity, sustainable revenue, and meaningful token value accrual. He highlights Hyperliquid for its strong position in decentralized derivatives trading, substantial revenue generation, and token buyback mechanism. Solana remains interesting, though its reliance on memecoin-driven activity underscores the need to transition toward sustainable applications like payments, DeFi, and tokenization.
Ahuja is also bullish on privacy-focused blockchain technologies, as institutional adoption increases the need for transaction confidentiality. Zcash could benefit from this trend, although its recent significant appreciation warrants caution. Overall, he favors decentralized financial infrastructure, tokenization, and privacy technologies, focusing on projects where adoption translates into tangible value for token holders.
AI Rotation Not Permanent
The significant rotation of capital from crypto into AI stocks this year is likely to continue in 2027, driven by heavy investment from hyperscalers, enterprises, and governments. However, Ahuja does not believe the rotation away from crypto is permanent, especially as liquidity conditions improve and risk appetite returns.
Within AI, Moon Pursuit Capital sees opportunities in infrastructure—semiconductors, power generation, grid infrastructure, networking, and cooling technologies. "The biggest constraints on AI growth extend beyond computing power to electricity, connectivity and efficient deployment," Ahuja said, favoring businesses that address these bottlenecks with sustainable demand and disciplined capital expenditure.
Risks of Overinvestment in AI
On the debate over neoclouds and AI infrastructure spending, Ahuja is bullish on long-term AI computing demand but warns that investors must distinguish between underlying demand and the financing structures supporting expansion. Neoclouds offer flexibility, but financing rapidly depreciating GPUs with substantial debt creates risks, particularly when utilization and future pricing are uncertain.
He expects some overinvestment to become apparent in 2027, potentially leading to consolidation as financially stronger operators acquire assets from overleveraged competitors. This could further concentrate the AI trade among select mega-cap tech companies and hyperscalers.
Moon Pursuit Capital recently launched a $100 million market-neutral quantitative crypto fund and co-led an $8 million seed round for AmericanFortress, which is developing quantum-resistant blockchain security infrastructure.
This article is for informational purposes only and does not constitute financial advice.
