Highlights for the morning: bitcoin below $100,000, SoftBank's $32 billion collapse and the chip market downturn

Bitcoin fell below $100,000 for the first time in four months. SoftBank lost $32 billion of capitalization due to the fall of Arm and other chip partners. About these and other topics - in our review of key events by the morning of November 5.

Bitcoin on Tuesday fell below the $100,000 mark for the first time since June, dropping 5% to $100,893 and briefly reaching $99,966, CNBC writes. According to CoinGecko, the price has fallen even lower over the past 24 hours, to $99,075. The fall coincided with a decline in shares of technology companies related to artificial intelligence: the Nasdaq Composite index lost more than 1%, and investors sold off Palantir securities due to overvaluation, despite strong reporting.

According to Haonan Li, founder of Codex, the cryptocurrency market is "depleted": even positive news does not cause growth. Analysts note that private investors are less "buying on drawdowns," while long-term holders continue to lock in profits. Compass Point estimates that bitcoin could fall to $95,000 if short-term players capitulate further. October, traditionally a strong month for the crypto market, was an exception this year, the channel notes.

Advanced Micro Devices (AMD) reported record revenue for the third quarter and beat analysts' expectations for sales and earnings, Yahoo Finance reports. The company generated $9.25 billion in revenue versus a projected $8.74 billion (Bloomberg estimate), and earnings per share came in at $1.2 versus a consensus of $1.17. AMD expects further growth in the fourth quarter with a revenue forecast of about $9.6 billion. Analysts' average estimate was $9.2 billion, but some forecasts were as high as $9.9 billion, Bloomberg wrote.

Growth was driven by EPYC server processors, Ryzen consumer processors and Instinct gas pedals for AI computing. Sales in the data center segment increased to $4.3 billion, in the client segment to $2.8 billion (a record), and the gaming division brought in $1.3 billion. The company also signed large-scale agreements with OpenAI and Oracle: it will supply up to 6 GW of graphics processing units (GPUs) for OpenAI data centers and 50,000 chips for Oracle cloud data centers.

Shares of Japanese holding company SoftBank collapsed by more than 14% on Wednesday, falling victim to a massive sell-off of AI companies in Asia and the US, CNBC writes. The group's capitalization fell by $32 billion, the biggest collapse since August 2024. SoftBank owns a controlling stake in processor developer Arm Holdings and recently acquired Ampere Computing to strengthen its position in data centers and artificial intelligence.

Other technology companies in the region also fell sharply: Advantest lost more than 8%, Renesas - 5.5%, Tokyo Electron - more than 5%. In South Korea, Samsung and SK Hynix fell in price, while in Taiwan, TSMC fell. The selloffs followed an 8% decline in Palantir shares in the US, despite strong reporting.

Investors fear market overheating: the P/E ratio of the S&P 500 index has exceeded 23 - the highest since 2000. Analysts compare the current AI frenzy to the dotcom bubble, and legendary investor Michael Burry has bet against sector leaders Palantir and Nvidia.

Nvidia has joined a group of investors investing in Indian deep-tech startups as part of the India Deep Tech Alliance initiative, CNBC reports. The alliance, launched in September with an initial capital of $1 billion, has added new members including Qualcomm Ventures, Chirate Ventures and Kalaari Capital, and has already raised more than $850 million in commitments. Nvidia serves as co-founder and strategic advisor, providing technology expertise, training and guidance on the implementation of AI tools.

The project aims to address the chronic funding gap in knowledge-intensive industries, from artificial intelligence and robotics to semiconductors and space. Despite a 78% increase in deep-tech investment last year (to $1.6 billion), the sector still receives only a fifth of India's venture capital. According to Celesta Capital partner Sriram Viswanathan, the government's efforts are creating "the best time for India's breakthrough in deep tech."

- Japan's broad Topix index was down 3.3% at one point, but then slowed down to about 1.2%. The benchmark Nikkei 225 was down 4.7%, then recovered losses a bit.

- Hong Kong's Hang Seng Index was falling by 0.24%, but then managed to switch to a slight increase. The CSI 300 index of stocks in mainland China added 0.43%.

- In South Korea, the Kospi index was down 3% and the Kosdaq was down 3%.

- Australia's S&P/ASX 200 was down 0.13%.

- Futures on the Nasdaq 100 were down 0.16%, the S&P 500 was down 0.05% and the Dow Jones Industrial Average was up 0.15%.

This article was AI-translated and verified by a human editor