Bitcoin Falls as Tech Stocks and Precious Metals Tumble

The strong link between cryptocurrencies and the software sector re-emerged on Wednesday, pushing bitcoin (BTC $70,086.22) back toward last week’s lows. After briefly topping $70,000, bitcoin has now retraced most of its recent gains, trading near $65,000.

Over the past 24 hours, bitcoin fell about 2%, with ether (ETH $2,093.00) and solana (SOL $86.67) following similar declines.

The sell-off mirrored broader losses in the Nasdaq, which dropped 2%. The software-heavy iShares Expanded Tech-Software Sector ETF (IGV) led the decline, tumbling 3% and bringing its year-to-date loss to 21% as investors reassess high valuations amid rapidly advancing AI capabilities.

“Software stocks are struggling again today. IGV is essentially back to last week’s panic lows,” said macro strategist Jim Bianco. “Don’t forget there’s another type of software, ‘programmable money’ — crypto. They are the same thing.”

Precious metals also slumped, with silver down 10.3% to $75.08 per ounce and gold falling 3.1% to $4,938, wiping out earlier modest gains.