Today is a bloodbath for global markets.
Bitcoin and cryptocurrencies are taking center stage in the selloff, with BTC plunging 10% to $63,000 and altcoins suffering even steeper losses of 20% or more.
The technology sector looks increasingly fragile, with price action bearing a haunting resemblance to the 2021 decline that sidelined the Nasdaq for nearly 18 months.
We are undoubtedly entering a turbulent period.
Equities bled red today, overshadowing what should have been a celebratory moment for Alphabet.
According to recent reports, while Google posted record profits in yesterday’s earnings, the stock was hammered as investors and brought with it some rough selling waves for the rest of the Market.
Metals are also crashing with Silver dropping 10% back to $73, casting doubt on their role as sensible risk assets following the parabolic runs and massive repricings of the last few years.
In a flight to safety, US Treasuries and the US Dollar have emerged as the only sanctuaries, bouncing back while everything else burns.
The narrative is shifting darker – Morning rounds of surprisingly soft US labor data, combined with advancements in Claude’s latest plug-ins, are fueling fears that AI could begin to materially displace the workforce.
This grim reality is dragging the tech and particularly software sectors down, with some leveraged ETFs dropping 30% in a single session.
The velocity of this selloff suggests things won’t calm down immediately.
Keep a very close eye on the action in the coming days and manage risk aggressively—volatility is likely just getting started.
