Bitcoin slips below $76,000 as AI selloff hits crypto stocks

Bitcoin fell below $76,000 on Thursday as a selloff in artificial-intelligence-linked stocks spread to crypto markets, according to CoinDesk’s report on the market moves. The reversal followed a post-election rally, while investors weighed whether political opposition could slow data-center construction and weaken returns on AI investment.

How far did crypto stocks fall?

Crypto miners fell 15% to 20%, while Coinbase, Circle and BitGo dropped between 10% and 15%, CoinDesk reported. Strategy, the bitcoin treasury company, lost 9.6%. The Nasdaq fell nearly 6% and a chip-sector index dropped more than 10% in early trading.

FalconX’s Joshua Lim said investors were focused on the risk of slower data-center construction. GSR’s Carlos Guzman said midterm results added to existing concerns about returns on AI infrastructure spending, alongside pressure from disappointing chipmaker earnings.

What drove the crypto selloff?

Bitcoin fell about 5.5% over 24 hours, while Ether, Solana, XRP and Hyperliquid each lost 6% to 7%, according to CoinDesk. More than $1 billion in crypto derivatives positions were liquidated over the same period, mostly bullish bets, CoinDesk reported, citing CoinGlass.

The liquidations were the largest since at least Oct. 28–29, when bitcoin fell from nearly $82,000 to $76,000. GSR’s Guzman said a pullback in risk appetite had been amplified by leverage after the previous day’s relief rally.

Why does Wintermute see room for optimism?

Wintermute’s Jasper De Maere said crypto had held up relatively well against AI-linked stocks and pointed to broader adoption as support for the longer-term outlook. He described the medium-term view as “glass half full” and said investors should watch for bargains as correlations across assets remain high.

De Maere cautioned against drawing conclusions from a single day’s selloff. He said the near-term direction remained uncertain and that potential bargains could surface over time.

Source material

• CoinDesk’s report on the market moves — coindesk.com