Karla Barker 
Bitcoin and US stocks ended last week under pressure. Investors pulled back from risk as worries about AI spending, interest rates and the broader market outlook weighed on prices. US stocks lost nearly $3 trillion in value in one trading session. The S&P 500 fell 2.7% for the week. The Nasdaq dropped 3.4%. Bitcoin slipped below $75,000 and briefly touched the $73,000 area.
Why US Stocks Dropped
Three issues did most of the damage. First, investors are worried that possible limits on AI data centre expansion could hit demand for chips and related infrastructure. Election campaigns also brought more attention to data centre construction, and candidates from both parties raised questions about its growth. Chip stocks took the hit. Micron fell 22%, Palantir lost 13%, Oracle and AMD dropped about 11%, and Nvidia fell around 9%.
Second, October employment data showed 165,000 new jobs. That was far above the 65,000 expected. A stronger labour report made investors think the Federal Reserve may keep rates higher for longer, or perhaps consider another hike in December. Higher borrowing costs tend to pressure technology stocks and other risk assets. Third, tech firms are spending billions on AI infrastructure, but investors are still unsure how fast those bets will pay off. That uncertainty added to selling pressure.
Bitcoin ETFs See Large Outflows
Bitcoin faced the same broad market pullback plus steady withdrawals from crypto funds. Bitcoin ETFs recorded $1.28 billion in weekly outflows, the largest weekly withdrawal since June. More than $840 million left on Thursday and Friday. Ethereum ETFs saw about $365 million in outflows, their sixth straight week of withdrawals. Bitcoin traded above $80,000 on Wednesday before falling toward $76,000 and briefly touching $73,000. The Crypto Fear and Greed Index dropped to 29. Bitcoin closed the week near $74,851, below $75,000 and its 50-week moving average near $75,500. A weekly close below $73,500 could strengthen the bearish case. A recovery above $76,200 might improve short-term sentiment.
What to Watch This Week
Markets may stay tense as investors wait for US inflation data and signals from the Federal Reserve. CPI data is due on November 10 and is expected to rise from 3.7% to 3.9%. If inflation comes in hotter than expected, traders may price in higher rates, which could pressure stocks and Bitcoin again. A softer reading could help prices recover. Investors will also watch Nvidia’s earnings on November 17 for clues on AI chip demand and tech spending.
For now, both markets remain sensitive to rate expectations and AI investment worries. Bitcoin holding above $75,000 and reclaiming $76,200 would matter. A break below $73,200 could raise the chance of more losses. Whether the sell-off continues probably depends on the inflation print and how investors react to it.