Bitcoin (BTC) in 'Bloodbath' Following Asian Semiconductors...Collapses Below $63,000

▲ Bitcoin (BTC), Iran War, Crude Oil/AI Generated Image

As the plunge in Asian semiconductor stocks spread to the U.S. stock market, Bitcoin (BTC) fell below $63,000, and over $510 million in cryptocurrency long positions were liquidated.

According to crypto media outlet Cointelegraph on July 28 (local time), Bitcoin hit a 10-day low immediately after the opening of the New York stock market. Bitcoin prices fell below $63,000 for the first time since July 17. The sell-off in semiconductor stocks, which began in Asian markets, spread to the U.S. market, dampening investor sentiment for risky assets.

South Korea's KOSPI index plummeted 10.8% in a single day. SK Hynix shares fell 14.8%, and Japanese memory semiconductor company Kioxia Holdings plunged 18.3%. The U.S. Nasdaq Composite Index also fell more than 1%. Micron Technologies fell more than 10% early in the session, dropping to its lowest level since May 22.

At the heart of the semiconductor stock plunge was skepticism about the profitability of artificial intelligence (AI) infrastructure investments. Capital expenditure forecasts for Alphabet, Microsoft, Amazon, and Meta for 2026 total $725 billion to $730 billion. Wall Street projected that this amount could increase to $900 billion by 2027.

Alphabet recorded its first-ever cash burn in the second quarter. The cash burn amounted to $5.9 billion, while its cloud division grew by 82%. China's Moonshot AI's open-source model Kimi K3 also raised concerns about the profitability of large-scale AI investments by Western companies.

According to CoinGlass, over $510 million in cryptocurrency long positions were liquidated within 24 hours. CoinAnk warned that a large volume of long position liquidations had accumulated below $64,700. For upward movements, it suggested $65,800-$66,200 as key short position liquidation zones.

[Article Summary]

-As Asian semiconductor stocks plummeted and spread to the U.S. stock market, Bitcoin fell below $63,000.

-The KOSPI index plummeted 10.8%, SK Hynix fell 14.8%, and Kioxia Holdings plunged 18.3%.

-Cryptocurrency long position liquidations exceeded $510 million in 24 hours.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*