Token prices were hit after a sell-off in U.S. equities as Meta and Microsoft raised their AI investment projections, prompting overspending concerns.
💡 DMK Insight
The recent sell-off in U.S. equities is a wake-up call for crypto traders. With Meta and Microsoft ramping up their AI investments, concerns about overspending are surfacing, which could lead to broader market volatility. This shift in focus from tech stocks to AI spending may cause a ripple effect, impacting crypto assets that are often correlated with tech performance. Traders should keep an eye on how this sentiment plays out, especially if major indices continue to decline. If the S&P 500 breaks below key support levels, it could trigger further sell-offs across risk assets, including cryptocurrencies. On the flip side, this could present a buying opportunity for those looking to accumulate at lower prices, particularly if the crypto market shows resilience. Watch for Bitcoin’s response around its recent support levels; a bounce could signal a divergence from equities, while a breakdown might indicate a deeper correction. Keep an eye on the next earnings reports from tech giants as they could further influence market sentiment.
📮 Takeaway
Watch for Bitcoin’s support levels; a bounce could signal resilience against equity sell-offs, while a breakdown may indicate deeper corrections.





