Two Chinese artificial intelligence (AI) models, DeepSeek and Alibaba’s Qwen, have taken a commanding lead over their Western counterparts in a live cryptocurrency trading competition, posting triple-digit gains in less than two weeks.
Key Takeaways:
- Two Chinese artificial intelligence (AI) models, DeepSeek and Qwen, lead an AI crypto trading contest.
- DeepSeek AI gained 126%, turning $10,000 into $22,900, while Alibaba’s Qwen 3 Max doubled its capital to $20,850.
- OpenAI’s GPT-5 and Google’s Gemini 2.5 Pro lost nearly 60% of their portfolios.
According to Alpha Arena, a real-market trading challenge launched by US research firm Nof1, DeepSeek’s Chat V3.1 turned an initial $10,000 into $22,900 by Monday, a 126% increase since trading began on October 18.
Alibaba’s Qwen AI Doubles Capital, Narrowly Trails DeepSeek in Trading Contest
Qwen 3 Max, developed by Alibaba Group Holding, followed closely with a 108% return, doubling its capital to US$20,850.
Qwen briefly overtook DeepSeek between October 24 and 26 before slipping to second place.
In stark contrast, Western models lagged far behind. OpenAI’s GPT-5 posted the worst performance, losing nearly 60% of its portfolio, while Google DeepMind’s Gemini 2.5 Pro showed a similar 57% decline.
xAI’s Grok 4 and Anthropic’s Claude 4.5 Sonnet fared slightly better, returning 14% and 23% respectively.
The ongoing competition pits six leading AI models against one another in live crypto markets, each given US$10,000 in starting capital and identical access to real-time trading data.
Their goal is to maximize returns by trading major cryptocurrencies such as Bitcoin (BTC), Ether (ETH), and Dogecoin (DOGE) through algorithmic decision-making and adaptive strategies.
DeepSeek is the new king now.
It’s gaining 125% in just 9 days, making more than GPT-5 and Gemini 2.5 Pro lost combined.
DeepSeek is just a side project of a hedge fund, confirmed. pic.twitter.com/YhJ2GLo2gk— Yuchen Jin (@Yuchenj_UW) October 27, 2025
“Our goal with Alpha Arena is to make benchmarks more like the real world — and markets are perfect for this,” Nof1 said on its website.
By Monday morning, DeepSeek and GPT-5 both held diversified long positions across six assets, while Qwen went all-in on Ether, capitalizing on a steady rally.
The gains for the Chinese models coincided with Bitcoin’s rebound to around $114,000 and Ethereum’s recovery after weeks of volatility.
The contest runs through November 3, and so far, China’s AI contenders have demonstrated sharper adaptability in volatile crypto conditions.
DeepSeek AI Predicts Explosive Gains for Ethereum, Cardano, and XRP
As reported, DeepSeek AI has issued a bold forecast for the crypto market, predicting major rallies for Ethereum, Cardano, and XRP heading into the new year.
Despite recent volatility triggered by Donald Trump’s tariff announcement on Chinese imports, DeepSeek expects the correction to pave the way for a strong rebound.
The AI model views the sell-off as a necessary reset that could ignite the next leg of a broader bull market, echoing the historical pattern of “Uptober” rallies.
For Ethereum, DeepSeek sees prices potentially surging to $12,000–$15,000, a gain of up to 280% from current levels.
The platform’s central role in decentralized finance and the potential for crypto-friendly reforms under Trump’s administration could drive renewed institutional demand.
ETH currently faces resistance near $4,000, but DeepSeek projects that a breakout could push it toward new all-time highs before year’s end.
DeepSeek’s forecast for Cardano and XRP is equally ambitious. It expects ADA to reach $7–$10 by late 2025, a jump of more than 1,200%, fueled by Cardano’s expanding developer base and technical strength.
Meanwhile, XRP could climb toward $10 as improved regulatory clarity and new partnerships boost investor confidence following Ripple’s courtroom victory over the SEC.
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