Bitcoin started Thursday on the back foot.
As Asian markets opened, BTC slipped toward $86,000, extending a broader risk off move that has been hitting both crypto and stocks. When tech weakens, crypto usually follows. That is exactly what played out overnight.
Investors have been trimming exposure to expensive tech names and the wider AI trade. Once that momentum cracks, liquidity pulls back fast and digital assets feel the pressure.
Across Asia, the tone stayed cautious. Stocks in Japan and Australia fell, while Hong Kong futures pointed lower. Crypto did not get much help from that backdrop.
Market snapshot
- Bitcoin: $86,575, down 1.1%
- Ether: $2,832, down 4.2%
- XRP: $1.86, down 3.7%
- Total crypto market cap: $3 trillion, down 1.5%
Tech selloff drags sentiment lower
Wall Street set the tone. The Nasdaq 100 dropped 1.9% on Wednesday, led by fresh selling in AI linked stocks. Nvidia slid 3.8%, its lowest level since September. The S&P 500 fell 1.2% and slipped below its 50 day moving average, a level traders watch closely.
The concern is simple. Investors are starting to question whether AI leaders can keep justifying massive spending and premium valuations. Data center costs, financing risks, and slower than expected payoff timelines are all coming under scrutiny.
Oracle fell 5.4% after reports said its largest data center partner would not back a planned $10 billion facility. Amazon dipped after news of talks around a potential OpenAI investment. Alphabet slid as traders reacted to reports that Google and Meta are working to reduce Nvidia’s software dominance.
Chip stocks took it on the chin too. Broadcom dropped 4.5%, and the semiconductor index fell nearly 4%. The message from the market was clear. AI optimism is being repriced.
Bitcoin waits for real buyers
That environment kept Bitcoin heavy. Small bounces showed up, but nothing with conviction.
Mike Marshall, head of research at Amberdata, summed it up well. The support simply is not there yet.
He pointed to weak market structure below current prices and muted ETF inflows, which makes it harder for Bitcoin to stabilize when sentiment turns. Add in macro worries around interest rates and slowing growth, and buyers stay cautious.
In this kind of market, price usually keeps testing lower levels until demand shows up. Based on ETF cost basis data, Marshall sees the first real support near $80,000. If conditions tighten further or outflows accelerate, $60,000 becomes the next major reference point.
All eyes on inflation data
Bond markets are flashing the same caution. After comments from Fed Governor Christopher Waller, demand picked up for shorter dated Treasuries, while longer term yields edged higher. The 10 year yield sat near 4.15%, keeping financial conditions tight.
Now the focus shifts to US inflation data due later Thursday. A surprise there could quickly reset rate expectations into year end.
For crypto, that report may decide whether Bitcoin finds its footing near current levels or keeps searching for a clearer floor. In risk off markets, patience matters. And right now, traders are still waiting for a reason to step back in.
