Crypto Markets Slide as Bitcoin Falls Below $90K Amid AI Profit Concerns

Cryptocurrency markets retreated sharply on Thursday, with Bitcoin slipping back below the closely watched $90,000 level as renewed doubts about artificial intelligence–driven profits pressured global tech stocks. The downturn followed weaker-than-expected profit and revenue guidance from U.S. cloud provider Oracle, whose executives warned that rising AI-related infrastructure spending has yet to translate into the returns investors anticipated. The update rattled broader risk sentiment and reinforced fears that AI growth may not be delivering on its near-term financial promises.

Bitcoin dropped 2.5% to $90,056.24, while Ether declined 4.3% to $3,196.62, wiping out gains made earlier in the week. The selloff deepened during U.S. trading hours on Wednesday after the Federal Reserve cut interest rates, a move that typically supports risk assets but failed to boost crypto markets this time. Asian equities followed Wall Street lower, and futures signaled additional losses ahead for European and U.S. markets.

Analysts say crypto investors remain cautious following the heavy volatility sparked by the October 10 market shakeout. According to IG market analyst Tony Sycamore, traders are still waiting for clearer signs that the recent correction has run its course. Without stronger confidence, he noted, digital assets are struggling to keep pace even when other risk assets show resilience.

Adding to the bearish outlook, Standard Chartered scaled back its long-term Bitcoin forecast, cutting its end-2025 target from $200,000 to $100,000. Geoff Kendrick, the bank’s global head of digital assets research, said corporate treasury buying of Bitcoin appears to have peaked. As a result, he expects future price momentum to rely primarily on demand from Bitcoin exchange-traded funds (ETFs), reducing what had previously been a multi-layered support structure for price appreciation.

The latest pullback highlights ongoing uncertainty in both crypto and tech sectors, as investors reassess expectations for AI profitability and macroeconomic policy shifts.