Cryptocurrencies were designed to decentralise finance, removing central banks and third parties to create a more secure peer-to-peer system. But in many ways, the crypto market of today reflects the central finance system. There are the elite few who hold disproportionate power, the big guys pull the strings and everyone else is at their mercy, holding on for dear life.
The recent Bitcoin crash — widely attributed to comments and movements by Donald Trump and other high-profile ‘whales’ – is a perfect example. If one person has the power to destabilise a multi-trillion-dollar asset, it raises the question: can crypto ever live up to its decentralised ideals without technological safeguards to balance the scales?
The crypto crash – what happened?
In early October 2025, Bitcoin was riding a bullish wave that began in early 2023, reaching highs of around $122,500. However, when President Donald Trump announced 100% tariffs on Chinese exports to the US, confidence crashed and Bitcoin plunged around 8.4% to $104,700. Over the next 24 hours, $19 billion was wiped off the crypto market.
The market has seen a partial recovery following Trump softened his position, however, the damage had already been done.
The whale problem
Whales — major holders of Bitcoin and other digital assets — have long been both admired and feared. They can provide liquidity and stability in calm markets but can equally create chaos during volatility. When whales buy or sell in bulk, they often trigger algorithmic responses, stop losses, and panic selling from smaller players.
One of the factors exacerbating the crash was the widespread use of leveraged positions in crypto. This is when traders borrow capital to increase exposure, magnifying both gains and losses. If prices fall to quickly, holdings are automatically liquidated to protect borrowed funds. When whales move the market, it triggers a domino effect, where smaller traders’ losses feed into further market declines.
Spread the wealth
Trump and other whale influencers are currently distorting the crypto space. One of the ways to mitigate this level of influence is for more people to get involved. Greater retail participation will spread the ‘power’ and reduce market volatility, creating a more secure trading environment for newinvestors. AI is key to this, creating trading tools that facilitate ease of access and reduced risk.
AI tools can analyse massive streams of data — social sentiment, technical indicators, network activity — and translate them into actionable insights in real time. That’s not about hype trading or getting rich quick, it’s about removing fear, greed and emotional bias from decision-making and creating a space that feels safe to investors, large and small.
Open the door to crypto
For too long, meaningful participation in crypto trading has required a certain level of technical expertise. Setting up wallets, managing risk, reading market depth, interpreting on-chain analytics, or even just using Telegram— these are skills that can take years to develop.
Crypto is hugely complex, even as a concept many people struggle to understand it which is a major barrier to adoption. There is also an overshadowing perception that it’s a scam, or the market is too volatile to deliver meaningful returns.
AI-driven tools are bridging that gap. They make it possible for someone with limited financial background to access complex market insights in plain language, with built-in security and risk management. They give people a platform that allows them to dip their tow into the space, opening the doors to new investors who may previously have been put off. When more people can participate with confidence, the market naturally becomes more resilient.
FOMO no more
Greed and emotion can severely undermine crypto buyers. Unless you are one of the ‘elite’ or someone with a solid network that gets information early – or you’re just plain lucky, it is difficult to get in at the right time to make these kinds of gains. In reality, buying a token that will allow you to retire or make life-changing gains is rare (though not impossible!), but it is too easy to get swept up in the hype.
Recent events illustrate this, with reports of a Trump ‘insider’ who may have received advanced information about key events that contributed to the crash and has now leveraged funds against further declines. This highlights the information imbalance – while some players can act on early intelligence, most retail investors are left reacting to market swings.
AI not only gives retail investors early insight into newly launched tokens (new pairs), trending tokens and whale movements, but it also removes greed and emotion from decision-making. It enables traders to implement strategic plans v that encourages disciplined profit-taking. Everyone is in this space to make money and AI-powered tools can help them to do it responsibly and safely.
Security risk?
But of course, strong signals mean nothing without strong protection. As more people join the crypto space, security is fundamental and expected. Leading providers, such as Blockaid, protect users from deceptive contracts designed to trap funds, as well as rug-pulls and pump-and-dumps, with pattern recognition tools that can identify suspicious activity before it’s too late. Real-time alerts ensure that traders receive critical information at the exact moment they need it to make safe and informed decisions.
The combination of AI signals and smart security levels the playing field and supports a fairer, more accessible financial future. With mainstream platforms such as Google and PayPal incorporatingcrypto into payments, it’s clear that digital assets are gaining wider appeal, but without tools that simplify trading and embed safety, many people will remain on the sidelines.
Financial freedom
Crypto’s original promise was financial freedom — borderless, permissionless access to money and markets. But that vision can’t thrive if access is uneven or manipulated by a few voices with disproportionate reach.
The recent Bitcoin crash was a wake-up call. Decentralised finance holds great potential as a force for democratic wealth building, without the gatekeeping of banks. But for this vision to be realised, crypto needs to come out of the shadows – and AI is the tool for the job.
