Bitcoin Sinks Back Below $67K as Wednesday Gains Fade Fast

Bitcoin fell back below $67,000 during U.S. morning hours on Thursday, rapidly surrendering Wednesday's strong advance. The largest cryptocurrency had touched $70,000 late Wednesday before reversing, shedding more than 4% as broader risk assets came under pressure. Ether and Solana posted similar declines, according to market data.

Nvidia Earnings Spark Broad Tech Selloff

The crypto pullback accompanied a roughly 2% slide in the Nasdaq, driven by a sell-the-news reaction to Nvidia's quarterly report. Although the chipmaker did not disappoint, investors locked in profits after its sizable run-up into earnings. NVDA shares dropped 4.8%, dragging related names like Broadcom, Micron, and Intel sharply lower.

Curiously, software stocks diverged from the hardware rout. The Software Sector ETF (IGV) advanced more than 2% on Thursday, highlighting a growing split within the technology sector.

Why Did Bitcoin Only Track the Downside?

Bitcoin's correlation with this embattled tech group has been well documented, yet to bulls' chagrin the relationship appears one-sided. The digital asset moved in lockstep with chip stocks heading lower but did not follow software names higher. IGV gained over 2% while Bitcoin shed 4%, underscoring the asymmetric nature of the correlation.

How Are Crypto Stocks Performing?

Among crypto-linked equities, Coinbase dipped 1%, Strategy fell 2.3%, and Galaxy Digital dropped 3% on Thursday. The clear outperformer was stablecoin issuer Circle Financial, rising another 3.3% and extending its two-day post-earnings rally to approximately 40%, according to market data.