Key takeaways:
Disney and other consumer names disappointed on earnings, adding pressure to markets after the prolonged US government shutdown.
Analysts see no sign of insider-driven Bitcoin selling, with BTC instead reflecting wider doubts about valuations and US economic stability.
The tech-heavy Nasdaq Index fell 2.3% on Thursday after Palantir CEO Alex Karp made cautious remarks about the profitability of the artificial intelligence sector. In an interview at Yahoo Finance’s Invest event, Karp said not every AI implementation will “create enough value to justify the actual cost.” Investors fear the US economy may be entering a weaker phase.
Nasdaq index futures (red) vs. BTC/USD (right). Source: TradingView / Cointelegraph
Shares of Palantir (PLTR), Intel (INTC) and CoreWave (CRWV) posted daily losses of 6% or more. Bitcoin (BTC) followed the broader risk-off move, trading down 6.5% after testing the $105,000 level on Wednesday. The pullback sparked $350 million in liquidations of leveraged bullish BTC positions, likely contributing to the loss of the key $100,000 psychological support.
Source: X/100trillionUSD
There is little evidence that traders are specifically worried about Bitcoin or that any major event triggered additional fear or uncertainty. Analysts emphasize that the recent sell pressure does not support the narrative that Bitcoin insiders are cashing out. According to PlanB, the creator of the stock-to-flow metric, the long-term supply pressure originated from holders who were active between 2017 and 2022.
AI build-out cost and US macroeconomic issues worry investors
Tesla (TSLA) stock deepened its decline after the company was forced to recall more than 10,500 units of its self-consumption energy storage system. At least 22 overheating reports linked to the $8,000 device, manufactured in the US, prompted the preventive action. TSLA had already been under pressure after outlining plans to build a 10 million-unit Optimium humanoid robot line in Austin.
Beyond the AI sector, traders lowered their expectations for the US Federal Reserve’s monetary policy path. According to the CME FedWatch…
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