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AI Trading Models Face Heavy Losses in AlphaZero Competition Amid Market Downturn

Multiple AI models, including DeepSeek, Qwen3, Claude, and Grok, faced portfolio drawdowns, while GPT5 and Gemini shorts posted slight recoveries during recent market fluctuations.

BTC

Summary

Recent trading in the AlphaZero competition saw most AI models with long positions incur losses overnight through midday. DeepSeek added Bitcoin longs at 4 a.m., now facing a $682 loss, representing a 37% drawdown, with its largest position valued at $24,000. Qwen3, Claude, and Grok also experienced portfolio declines. In contrast, GPT5 and Gemini’s short positions showed modest recoveries amid market changes.

Terms & Concepts
  • Algorithmic Trading: The use of computer programs and AI models to execute trading orders based on predefined criteria.
  • Drawdown: A reduction in the value of a portfolio or position from its peak to its lowest point.
  • Bitcoin Long: A trading position in which an investor buys Bitcoin expecting its price to rise.