Alphabet’s quarterly results later Wednesday are expected to reveal whether the massive investment pouring into artificial intelligence is beginning to deliver measurable returns.

Trump Issues Warning Over Strait of Hormuz Attacks

President Donald Trump warned that the U.S. would retaliate against any attacks targeting ships traveling through the Strait of Hormuz.

In a post on Truth Social, Trump said that any Iranian strikes involving missiles, rockets, drones, or other weapons would lead to U.S. action against infrastructure targets, including bridges and power facilities.

The comments had little immediate impact on financial markets, with oil prices continuing to rise sharply while equities and cryptocurrencies remained under pressure.

OpenAI Expands AI Computing Budget to $750B

OpenAI has increased its projected spending on computing infrastructure to roughly $750 billion through 2030, up from a previous estimate of $600 billion, according to The Wall Street Journal.

The additional investment is aimed at securing the computing capacity needed to develop and operate increasingly advanced AI models.

The spending plan includes new data center projects, including the recently announced $20 billion “Project Camellia” campus in Georgia.

Hut 8 Gets Higher Price Target After Major Data Center Expansion

Benchmark analyst Mark Palmer maintained a buy rating on Hut 8 (HUT) while raising his price target from $165 to $195 following the company’s latest long-term data center agreement.

The upgrade came after Hut 8 signed a second $9.8 billion, 15-year lease at its Beacon Point data center campus, implying nearly 80% upside from its previous closing price of $108.98.

Palmer’s revised valuation includes the estimated worth of Hut 8’s contracts at River Bend and Beacon Point, its 60% ownership position in American Bitcoin Corp., and the value of its 10,667 BTC treasury holdings as of March 31.

Hut 8 shares were down about 1.35% in pre-market trading.

Oil Rally Pressures Risk Assets as Crude Hits Six-Week High

Escalating U.S.-Iran tensions pushed WTI crude prices up another 3.2% on Wednesday to $87.38 per barrel, marking their highest level since early June.

The rise in oil prices has reignited inflation concerns, putting pressure on bond markets as both 10-year and 2-year Treasury yields reached new cycle highs.

Just days earlier, markets had largely priced out the possibility of a Federal Reserve rate hike at the next meeting. Those expectations have now increased to nearly 30%.

The shift has hurt risk assets, with Nasdaq 100 futures falling 0.8%. Bitcoin also moved lower, slipping below $66,000 after reaching $66,900 the previous day.

$63K Remains Key Bitcoin Support Level

Bitcoin’s next move will depend largely on three factors: the U.S.-Iran conflict, investor appetite during earnings season, and the Federal Reserve’s monetary policy direction, according to Daniela Hathorn, senior market analyst at Capital.com.

Hathorn identified $63,000 as an important support area where buyers have repeatedly defended BTC. Holding this level could indicate that the recent pullback is losing momentum, while a breakdown may trigger another round of profit-taking.

On the upside, the $65,000–$66,000 range remains the key resistance zone. A move above that area could strengthen momentum and increase the chances of a return toward recent highs.

Tesla Investors Want More AI Spending Ahead of Earnings

Tesla’s upcoming earnings report presents a different dynamic compared with other technology giants.

While investors want Alphabet and other major tech companies to prove that their enormous AI investments are producing results, Tesla investors appear to be looking for even greater AI spending.

Tesla shares are down 16% this year, and unlike many of its peers, increased AI investment could potentially support the stock rather than create concerns, according to Bloomberg.

Bitcoin ETFs Extend Winning Streak to Six Sessions

U.S. spot Bitcoin ETFs recorded their sixth consecutive day of inflows, attracting $203 million on Tuesday, according to SoSoValue data.

The streak marks the longest run of positive ETF flows in about three months. Ethereum ETFs also saw inflows, adding $37.5 million.

Bitcoin ETFs gained roughly $930 million during the six-day streak, although that remains below the $2.5 billion lost during the eight-day outflow period at the end of June. Total assets under management have climbed close to $81 billion, the highest level since mid-June.

Bitcoin advanced about 2.8% during the period, briefly reaching $66,900 on Tuesday, its highest level since June 16.

Bitcoin Pauses Below $66K as Markets Await Alphabet’s AI Signal

Bitcoin traded near $65,900 on Wednesday, holding below its recent two-week high while remaining up around 1.5% for the week.

The pause reflected broader market caution as a rebound in semiconductor stocks lost momentum ahead of Alphabet’s earnings report after the U.S. market close.

Nasdaq 100 futures declined 0.8%, South Korea’s Kospi gave back some early gains, and European technology shares also weakened.

Alphabet previously announced plans to increase annual capital spending to as much as $190 billion. Investors are now looking for evidence that this aggressive AI investment strategy is generating returns, especially as chipmakers face concerns about whether the current AI spending boom can continue.

Bitcoin has closely tracked the AI trade this month, rising when semiconductor stocks perform well and falling when technology shares weaken. The correlation reflects shared risk appetite and the growing shift among Bitcoin miners toward AI data center operations.

Elsewhere, Ether traded near $1,917, up roughly 2% over the week, while Hyperliquid underperformed with a 2% weekly decline.

Attention now turns to Alphabet’s earnings and the Federal Reserve meeting on July 28–29 for further signals on the direction of risk markets.