#GlobalTechSell-OffHitsRiskAssets

Global markets entered February with a sharp retreat led by technology giants. As investors increasingly question whether the "AI bubble" is reaching its limit, the flight from risky assets has caused deep tremors not only in stock markets but also across the crypto world and commodity markets.
Capex and Spending Concerns Among Tech Titans
At the heart of this turbulence lies the fact that the massive capital expenditures (capex) by giants like Microsoft, Alphabet, and Amazon for AI infrastructure are now perceived as a "risk" by investors. Despite billions of dollars in data center investments, uncertainty over when and how much these expenses will contribute to profit margins has triggered heavy sell-offs in semiconductor leaders like AMD and Nvidia. In particular, the double-digit decline in AMD's shares despite strong guidance indicates that the market has shifted into a "sell the news" mode.
The Domino Effect on Risk Assets: Bitcoin and Altcoins
The liquidity crunch in tech stocks has directly impacted the cryptocurrency market, where risk appetite is typically highest. Bitcoin has retreated nearly 50% from its record highs of the past year, slipping below the $70,000 threshold. This crash in the crypto space is not just a loss of value in a single asset class; it serves as a stark indicator of how fragile global liquidity conditions have become. Major projects like Ethereum and Solana have also taken their share of this sell-off as investors prefer shifting to cash in search of a safe haven.
Macroeconomic Pressure and Geopolitical Uncertainty
It’s not just tech data triggering the sell-off; weak signals from the U.S. labor market and the pressure of geopolitical tensions in the Middle East on energy prices are also playing a significant role. The possibility of inflation being reignited by AI-driven energy demand could lead central banks to postpone their interest rate cut schedules. This situation remains one of the biggest financial hurdles for growth-oriented technology companies.