Analysis: Bitcoin retreats to $74,000, AI stock sell-off drags down the crypto market

SmartContractAuditor · 2026-02-04T20:27:08+00:00

Bitcoin fell below $74,000 due to weakness in tech stocks and concerns over AI disruptive impacts, with the Nasdaq 100 index dropping 1%. Shares of related crypto mining companies also generally declined. Gold prices retreated from $5,113 to below $5,000. Economic data shows the service sector continues to expand, but employment growth has slowed. Analysts believe the market has underestimated the Federal Reserve's future stimulus measures.

SmartContractAuditor

2026-02-04 20:27:08

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Odaily Planet Daily reports that, affected by the weakness in tech stocks, Bitcoin fell below $74,000 in the US trading session early in the day. The Nasdaq 100 index declined by 1%, and due to market concerns that AI will bring disruptive impacts, the iShares Expanded Tech-Software ETF (IGV) has fallen a total of 17% over the past week. Shares of crypto mining companies related to AI infrastructure development also declined, with Cipher Mining (CIFR), IREN, and Hut 8 (HUT) each dropping more than 10%. The decline was triggered by chip manufacturer AMD’s 2026 earnings outlook, which fell short of analyst expectations, causing its stock to drop 14%.

Additionally, gold also experienced a sell-off, with prices retreating from a high of $5,113 per ounce to below $5,000. On the economic data front, the US January ISM Services PMI was 53.8, indicating continued expansion in the service sector. However, according to the ADP report, private sector employment growth slowed, adding only 22,000 jobs. Quinn Thompson, Chief Information Officer at Lekker Capital, stated that employment in manufacturing, professional and business services, and large employers has shown signs of weakness, and he believes the market has underestimated the scale of stimulus measures the Federal Reserve may introduce in 2026. (CoinDesk)

BTC-6,91%

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