Chip Rout Wipes Out $1 Trillion, Pressures Bitcoin and Ether

The Nasdaq Composite fell 4.18% on June 5, its worst single-session loss since April 2025, closing at 25,709.43. The Philadelphia SE Semiconductor Index lost more than $1 trillion in market value that day, exchange data show.

Micron and Nvidia saw intraday declines of 10-13%. AMD fell a similar amount. The Dow Jones Industrial Average dropped 695 points, or 1.35%, to 50,866.78. The S&P 500 declined 2.64%.

NVDA holds an Alpha Score of 66, AMD a score of 62, both classified as Moderate. The selloff spread to Asian markets. South Korea's Kospi index fell as much as 10% in late June, dragged down by its heavy weighting in chip stocks.

Crypto markets weakened in the weeks after the equity rout. Bitcoin traded around $62,546 by June 24, down 5% for the week. Ether posted a 7.2% weekly loss. US spot Bitcoin ETFs recorded $6 billion in outflows over the previous 30 days, according to flow data from Morningstar and Bloomberg.