Bitcoin News: CZ Says AI Cannot Crack Bitcoin, but Data Leaks Make Crypto Users Vulnerable
Binance founder Changpeng “CZ” Zhao dismissed concerns that artificial intelligence could soon break Bitcoin’s cryptographic security, warning instead that data leaks and AI-powered scams pose a more immediate threat to cryptocurrency users.
In a statement on Friday, October 23, CZ explained that Bitcoin relies on mathematical protections similar to those used by internet services and online banking. However, he cautioned that AI is making phishing campaigns and social engineering attacks increasingly convincing. His comments came as Bitcoin traded at $81,817, down 0.8% over the previous 24 hours.
BTC managed to hold above $81,000 overnight, while large wallets continued accumulating the asset. Investors are now watching whether this support can trigger a recovery as concerns about AI, quantum computing and macroeconomic uncertainty persist.
Bitcoin’s Cryptography Remains Secure Against Current AI Threats
Artificial intelligence can help identify software vulnerabilities, automate cyberattacks and create convincing fraudulent messages. However, current AI systems cannot independently solve the mathematical problems protecting Bitcoin’s private keys.
CZ pointed out that the cryptographic methods supporting Bitcoin are closely related to those securing online communications and financial services. A technological breakthrough capable of cracking Bitcoin’s keys could therefore threaten much of the broader digital infrastructure.
Quantum computing presents a longer-term challenge. Although no existing quantum computer can break Bitcoin’s digital signatures, researchers are examining how future machines could affect cryptocurrency security.
The Quantum Alliance, a coalition of nine crypto companies, estimates that approximately 6.4 million BTC, or around 30% of Bitcoin’s supply, sit in addresses with publicly exposed keys. The estimate includes coins attributed to Bitcoin’s pseudonymous creator, Satoshi Nakamoto.
Experts disagree about when quantum computers might become capable of breaking existing cryptographic protections. Postquant Labs CTO Richard Carback considers 2028 a plausible timeframe, while other specialists remain unwilling to provide a specific date.
Bitcoin developers are also exploring potential safeguards through BIP-360, a draft proposal focused on quantum-resistant address options. However, implementation remains a work in progress.
AI-Powered Scams Pose a More Immediate Risk
Rather than breaking Bitcoin’s underlying technology, attackers can exploit personal information to deceive users. Exposed email addresses, phone numbers and transaction-related data can help criminals impersonate exchanges, wallet providers and other trusted services.
AI makes these attacks easier to scale by generating personalized messages that appear legitimate, increasing the chances that victims will reveal sensitive information or authorize fraudulent transactions.
Chainalysis reported that AI-enabled scams were 4.5 times more profitable than traditional scams in 2025, while impersonation scams surged by more than 1,400%. Total cryptocurrency scam revenue reached an estimated $17 billion.
CZ’s latest comments followed another security warning earlier in the week. On Wednesday, he urged users to exercise caution when browsing websites after two critical PHP vulnerabilities reportedly exposed millions of servers to potential attacks.
Bitcoin Price Analysis: $81,000 Support Remains Crucial
Bitcoin buyers have defended the $81,000 region on two consecutive days, offering a potential foundation for a short-term recovery.
BTC touched $80,940 on Thursday and $81,118 on Friday, with both declines finding support above its 50-day exponential moving average at $80,880.
Wallet activity also suggests continued accumulation. Since October 1, 40 newly created wallets have withdrawn 9,458 BTC, worth approximately $771.5 million, from market maker Wintermute. Although newly created wallets do not automatically indicate fresh buying, the movement is consistent with a broader accumulation pattern.
Bitcoin’s immediate resistance lies between $82,100 and $82,850, where four-hour moving averages converge with a previous swing high. A decisive move above this zone could strengthen the recovery outlook.
The next important target is $84,900, the high recorded on Wednesday. Reclaiming that level would provide stronger evidence of a sustained rebound.
Conversely, a daily close below $80,394 could weaken the bullish setup and expose BTC to its 200-day EMA near $76,200.
Oil Prices, Fed Policy and Elections Could Determine Bitcoin’s Direction
Rising Oil Prices Add Pressure
Brent crude is trading near $114 per barrel as tensions surrounding the Strait of Hormuz continue and the U.S. blockade of Iranian oil remains in effect.
The New York Times reported this week that U.S. and Israeli forces have plans to resume strikes against Iran following the midterm elections, although no final approval has been given.
An escalation could drive oil prices higher, intensify inflation concerns and weigh on risk assets, including Bitcoin.
Federal Reserve Decisions Remain in Focus
The Federal Reserve’s restrictive monetary policy continues to challenge the cryptocurrency market. The central bank raised interest rates in September to a range of 3.75%–4.00%.
According to prediction-market data compiled by DeFi Rate, traders assigned roughly a 94% probability to the Fed keeping rates unchanged at its October 28 meeting. The same data indicated odds above 70% of another rate hike in December.
Expectations of higher borrowing costs can weaken demand for speculative investments, making monetary policy an important factor in Bitcoin’s short-term performance.
U.S. Midterm Elections Could Affect Crypto Regulation
The November 3 midterm elections are another potential market catalyst. Polymarket data puts the probability of Democrats winning the House at 92.5% and securing the Senate at 68.5%.
A Democratic-controlled Congress facing a Republican White House could complicate efforts to advance cryptocurrency legislation in the coming year, potentially increasing uncertainty around the regulatory outlook.
Can Bitcoin Turn $81,000 Into a Stronger Recovery?
Bitcoin continues to defend the $81,000 support zone, with large-wallet activity providing a potentially encouraging signal. However, a sustained recovery will require buyers to overcome resistance between $82,100 and $82,850 before challenging $84,900.
While quantum computing remains a longer-term security consideration, CZ’s warning highlights how data exposure and AI-powered impersonation can threaten crypto users today.
In the near term, Bitcoin’s price direction is more likely to depend on oil-market developments, Federal Reserve expectations and the approaching U.S. elections than on an immediate breakthrough against its cryptographic protections.
