{"id":24127,"date":"2023-10-26T08:03:30","date_gmt":"2023-10-26T08:03:30","guid":{"rendered":"https:\/\/nftandcrypto-news.com\/crypto\/magnificent-seven-tech-stocks-tumble-a-whopping-280b-as-crypto-surges\/"},"modified":"2023-10-26T08:03:32","modified_gmt":"2023-10-26T08:03:32","slug":"magnificent-seven-tech-stocks-tumble-a-whopping-280b-as-crypto-surges","status":"publish","type":"post","link":"https:\/\/nftandcrypto-news.com\/crypto\/magnificent-seven-tech-stocks-tumble-a-whopping-280b-as-crypto-surges\/","title":{"rendered":"\u2018Magnificent seven\u2019 tech stocks tumble a whopping $280B as crypto surges"},"content":{"rendered":"
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More than $280 billion has been wiped from the \u201cmagnificent seven\u201d tech stocks following the release of several earnings reports on Oct. 25, triggering fears of a looming tech recession.<\/p>\n

The so-called \u201cmagnificent seven\u201d refers to the top seven blue-chip tech firms \u2014 Apple, Microsoft, Meta, Amazon, Alphabet, Nvidia and Tesla \u2014 which combine to make up a quarter of the value of the S&P 500 index.<\/p>\n

Google parent company Alphabet saw its share price fall over 9%, wiping $180 billion from its market cap. It was noted<\/a> as Google\u2019s worst-performing day since the COVID-19 pandemic hit in March 2020.<\/p>\n

Google\u2019s (Alphabet Inc Class A) share price over the last five days. Source: Google Finance<\/em><\/figcaption><\/figure>\n

The share prices of Amazon, Nvidia and Meta fell 5.5%, 4.3% and 4.2%, respectively, according to Y Charts.<\/p>\n

Apple and Tesla\u2019s fall in share prices was less severe, at 1.35% and 1.9%, respectively, while Microsoft was the only one of the seven to buck the trend, with its share price rising 3.1% after reporting better-than-expected growth in its Azure business.<\/p>\n

\u201cThis is the most widespread tech selloff in months which has resulted in a 5-month low for the S&P 500,\u201d The Kobeissi Letter said.<\/p>\n

\u201cThis is what happens when the few stocks that are holding up the entire market break,\u201d the firm said, adding that tech stock investors may be beginning to price-in a recession.<\/p>\n

\u201cIt seems like buyers are becoming more hesitant as headwinds accumulate,\u201d Kobeissi noted in a follow-up response.<\/p>\n

Fears of a \u201cstock market crash\u201d have also been reflected in Google search trends, with the three-word term up 233% over the last week, noted Andrew Lokenauth, a reporter for TheFinanceNewsletter.com.<\/p>\n

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Google searches for Stock market crash up 233% in past week.<\/p>\n

If the stock market crashed 10%, what stocks are you investing in? pic.twitter.com\/TQz8tVyL5U<\/a><\/p>\n

\u2014 Andrew Lokenauth | TheFinanceNewsletter.com (@FluentInFinance) October 24, 2023<\/a><\/p><\/blockquote>\n

Meanwhile, the cryptocurrency market has been trending upward amid optimism over possible spot Bitcoin exchange-trade fund\u00a0approvals in the United States, with market cap increasing 16.3% to $1.3 trillion over the last week, according to CoinGecko.<\/p>\n

Bitcoin (BTC),\u00a0Ether (ETH),\u00a0BNB (BNB)\u00a0and XRP (XRP), in particular, have increased 23.3%, 16.7%, 8% and 15.2%, respectively, over the last seven days.<\/p>\n

Related: <\/em><\/strong>Google to protect users in AI copyright accusations <\/em><\/strong><\/p>\n

However, the crypto market hasn\u2019t proven to be bulletproof in the face of tough macroeconomic conditions.<\/p>\n

When the real gross domestic product of the United States\u00a0decreased over the first two quarters of 2022, the cryptocurrency market cap fell 61.7% from $2.37 trillion to $907 billion, according to CoinGecko.<\/p>\n

Change in the cryptocurrency market cap over the last 60 days. Source: CoinGecko<\/em><\/figcaption><\/figure>\n

While analysts speculate whether Bitcoin will\u00a0decouple further from tech stocks and the S&P 500,\u00a0past research from the Multidisciplinary Digital Publishing Institute suggests Bitcoin\u00a0still tends to trade like a \u201ctech stock\u201d over the long term due to its extreme volatility.<\/p>\n

It can, however, serve as a viable hedge against the U.S. dollar, which it\u2019s negatively correlated to, the research firm deduced from an October 2022 report.<\/p>\n

Since Sept. 1, Bitcoin has decoupled from the Nasdaq 100, increasing 34%, while the Nasdaq has fallen 8.6% over the same time frame.<\/p>\n

Meanwhile, the recent investor movements have some observers hinting that the movement could be seen as a \u201cflight to safety\u201d toward Bitcoin, particularly in light of several banking stocks plummeting lately.<\/p>\n

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It\u2019s almost like I predicted that #crypto<\/a> would decouple from stocks. And here we are with tech #stocks<\/a> sinking and #bitcoin<\/a> rallying. https:\/\/t.co\/K1R3OIiOgV<\/p>\n

\u2014 Bryan Ross (@bryanrosswins) October 25, 2023<\/a><\/p><\/blockquote>\n

Magazine:<\/em> <\/strong>Joe Lubin \u2014 The truth about ETH founders split and \u2018Crypto Google\u2019<\/em><\/strong><\/p>\n<\/div>\n