Tech Giants Wipe Out $797B, But Bitcoin Stays Strong
The cryptocurrency market has been relatively stable despite the significant decline in technology equities. On Thursday, the Magnificent Seven stocks, which include megacap companies like Alphabet and Tesla, experienced a 4.8% plunge, marking their worst daily performance since April 2025. This downturn was driven by concerns over substantial AI infrastructure investments from these companies, with Alphabet increasing its capital expenditure projection to $205 billion for 2026.
Tesla's quarterly results also disappointed investors, with the company disclosing profit figures significantly below analyst expectations. As a result, Tesla shares plummeted nearly 15%, while Alphabet retreated 7.1%. The technology group currently trades 11% beneath its late-May high-water mark, having surrendered $2 trillion from that peak valuation.
Meanwhile, Bitcoin (BTC) has maintained its position near $65,400, demonstrating remarkable stability as approximately $800 billion evaporated from leading U.S. technology companies. The cryptocurrency registered a modest decline of under 1% for the day while securing a 3% weekly gain.