Bitcoin (BTC) Slides to $75,000 as AI Stock Selloff Freezes Risk Appetite

AI Selloff Drags Bitcoin to $75,000

Wall Street's artificial intelligence trade took a bruising last week, and the Bitcoin (BTC) price followed it down to $75,000. Investors spent the week questioning technology valuations while the threat of tighter AI regulation grew, and the selling landed hardest on semiconductors: market research published November 6 shows Nvidia lost 15% over the reporting week, with Intel and Micron suffering considerably steeper declines. The immediate concern was political. The Democratic midterm victory raised expectations of stricter oversight of AI development, and a proposal to ban artificial superintelligence, introduced before the election, has deepened the uncertainty even though its passage remains far from certain. For crypto the bigger worry is financial, because technology stocks and digital assets draw on the same pool of investor risk appetite; money that keeps leaving speculative assets pressures Bitcoin (BTC) even without a fresh AI-stock crash. Equities did manage a partial comeback, with the Nasdaq rebounding 1.1% on Friday, but Bitcoin stayed near $76,000 through the weekend, well below its earlier recovery above $80,000. The drop capped a 9% slide from the $81,000 high and stretched an already established five-week losing streak. The broader token market initially held up better than the equity tape suggested. Recent Bitcoin news and token-level data bear that out: of 300 leading tokens tracked in the same research, roughly half recorded weekly gains and the median weekly return was just -0.06%. A handful of smaller assets ran far ahead, with CAP surging 34.54% even as the total value locked in its underlying protocol fell from nearly $300 million to around $180 million. That divergence points to selective speculative buying continuing while overall confidence weakened, though the same research cautions that the market still “lacks a clear catalyst for sustained upside.”

ETF Outflows Reach $1.28 Billion

Institutional positioning added a second layer of pressure. US spot Bitcoin (BTC) ETFs recorded $1.28 billion in net outflows between November 2 and November 6, and Friday alone accounted for roughly $412 million of withdrawals. These flows are read as the cleanest gauge of institutional demand because creations and redemptions settle against disclosed daily totals. Notably, the selling persisted even as technology shares began to recover, which suggests fund investors were trimming crypto exposure on their own account rather than mechanically following the equity tape. The Federal Reserve (Fed) has become another obstacle. Friday's US jobs report came in stronger than expected, showing the economy added about 100,000 more jobs than forecast, and December rate hike pricing jumped to a new high of 80% for a 25 basis point move after the release. Higher rates weaken demand for speculative investments while making safer, yield-bearing assets more attractive, so even a recovery in AI valuations may struggle to offset that drag. The next test arrives with the US inflation report on November 10. A softer reading would ease pressure on the Fed and support risk assets; persistent inflation would strengthen the case for tighter monetary policy. Past that print, the market needs two things before a durable recovery can be argued: ETF inflows turning positive again, and Bitcoin (BTC) reclaiming the $80,000 level it lost during the selloff. Until both show up, a Wall Street rebound may buy the market temporary relief without establishing a lasting turn.

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December rate hike pricing.

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The most telling detail of the week is the mismatch between equities and flows. The Nasdaq's 1.1% rebound on Friday failed to lift Bitcoin off $76,000, and the $412 million of same-day ETF withdrawals show institutional money kept leaving even as the stock market stabilized, a signature of crypto-specific de-risking rather than simple correlation with the AI trade. A widely shared market read frames the drawdown inside a four-year cycle that overlaps the Bitcoin halving rhythm, in which midterm-year pain precedes recovery: 2014's 57% drop gave way to a 34% gain, 2018's 73% plunge to a 92% rally, and 2022's 64% decline to a 155% surge. History offers no guarantee, and with markets pricing an 80% chance of another hike in December, the path of least resistance stays lower until the November 10 inflation report or a reversal in ETF flows forces a rethink. Cost-basis data already has short-term holders below breakeven, so each further leg down raises the odds of forced selling over patient accumulation. Whether conviction buyers who HODL through drawdowns absorb the supply will decide if $75,000 holds.

frames the drawdown inside a four-year cyclehttps://x.com/DeFiTracer/status/2117257611821433054