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Sign InAmid escalating concerns over the sustainability of the AI boom, global markets experienced a broad selloff targeting tech and cryptocurrency sectors. Nvidia shares dropped nearly 5% driven by emerging fears regarding circular financing deals with OpenAI, as investors question whether AI demand is fueled by vendor financing rather than genuine end-user growth. According to reports, the slump in tech stocks, particularly in Asia, dragged Bitcoin below key retracement support levels as market sentiment soured.
The selling pressure extended across major semiconductor players, reflecting deep-seated worries about the AI supply chain's fundamental health. Per market data, while Nvidia closed at $196.51 on July 27, 2026, peers also saw significant activity with AMD at $494.95, TSM at $399.09, and INTC at $91.67. These price levels underscore the high correlation within the sector and the market's sensitivity to any perceived risks in the financing models used by industry leaders to drive chip demand.
Technically, NVDA stood at $196.51 (close July 27, 2026) after hitting a day low of $195.44, placing the stock under psychological pressure below the $200 mark. Investors are now watching for signs of stabilization to prevent a deeper correction in both equity and crypto markets. With no major upcoming catalysts in the immediate economic calendar specifically for this sector, market focus remains on further clarity regarding the nature of financing commitments between Nvidia and its major counterparties.
Update: Selling pressure intensified in Asian markets as South Korea's Kospi index collapsed by 10%, sharply dampening global risk appetite. In tandem with this slump, Bitcoin fell 2% to $65,148.57 during post-U.S. close trading, further fueling fears of a broader correction across both digital assets and technology equities.