The past 24 hours have been enough to make even the most seasoned trader shed a tear:
China’s AI breakthrough: They’ve developed a more advanced AI tool at a fraction of the cost and made the code publicly available. This has sparked concerns that high-performance GPUs produced by companies like Nvidia may face reduced demand in the future. The result? Nvidia’s stock drops, dragging U.S. equities down with it. And when stocks fall, crypto inevitably follows.
Trump stokes economic fears: His warnings about making it harder for countries to export to the U.S. unless they meet his demands have fueled fears of economic hostility. The market dumps.
Rate cut hopes fade: Expectations for a rate cut by the FOMC are looking increasingly bleak. Once again, the market dumps.
