On Friday, Bitcoin's value decreased to approximately $63,000, representing a 1.7% drop within 24 hours and a 2.2% decline for the week, as a significant selloff in semiconductor stocks negatively impacted risk assets, according to CoinDesk. Conversely, Ether maintained a stronger position at $1,836, reflecting a 2.4% increase over the past week, while Hyperliquid experienced the most considerable losses, down 8% for the day and 12% for the week.
Futures for the Nasdaq 100 fell by 1.8%, and S&P 500 contracts decreased by 0.9%, following a 3% slide in a semiconductor ETF during premarket trading. Taiwanese equities entered a technical correction, and Asia's primary benchmark reached a two-month low, while European markets fared better due to lower exposure to tech stocks.
The ongoing concern in the sector revolves around the scrutiny facing chipmakers regarding whether the substantial investments made by AI hyperscalers will yield sufficient returns to justify their current valuations. This week, TSMC's results did not provide clarity on the matter.
The cryptocurrency market continues to follow the same trend observed throughout the quarter. A recent soft inflation report briefly pushed Bitcoin towards $65,000, but this was largely influenced by macroeconomic factors, and the ongoing chip market decline is exerting downward pressure. The Federal Reserve is scheduled to meet on July 28 and 29.