PrimeXBT: Why is Bitcoin lagging while the AI-driven stock rally keeps setting records?

Bitcoin was supposed to be the high-beta expression of a risk-on market. For most of the past cycle, that logic held, with crypto and tech rising and falling together as the same liquidity and the same appetite for risk moved both. That link has now snapped. The Nasdaq is printing fresh all-time highs, lifted by an artificial intelligence (AI) boom pouring money into chipmakers and data-centre operators, while Bitcoin has dropped under $70,000 and sits more than 40% below the peak it set last October.

For anyone trading crypto, the more useful question is not why stocks are strong, but why Bitcoin has been left out of a rally it would normally be part of leading.

The data behind the weakness

The softness is visible across almost every aspect of demand. US spot Bitcoin exchange-traded funds (ETFs) posted their biggest monthly outflow of the year in May. On-chain spot buying has stayed thin. Strategy, the largest corporate holder of Bitcoin, parted with some of its position for the first time since 2022, a notable shift from a company built around never selling. And when price gave way under $70,000, it set off the heaviest long liquidations crypto has seen all year. Taken together, the picture is one of buyers stepping back rather than leaning in.

Stocks have an earnings cushion that Bitcoin does not

The equity rally is narrow and almost entirely AI-led. A handful of large technology names, the chipmakers and the hyperscalers building out data centres, account for most of the gains, and combined capital spending across the biggest players looks set to climb sharply again in 2026. Crucially, the market is funding this from profits. These are cash-generative businesses, and that earnings base has let equities shrug off the oil-driven inflation and geopolitical tension weighing on other markets.

Bitcoin has no such backstop. It produces no cash flow, so when the macro mood turns cautious, there is no earnings story to fall back on, only sentiment and liquidity. That difference helps explain why the two assets, normally so closely linked, are now moving in opposite directions.

The AI boom may be pulling capital out of crypto

There is also a more direct competition playing out, and it is clearest in the mining sector. Margins were squeezed after the 2024 halving, and a growing number of miners have responded by redirecting power, sites, and capital towards AI and high-performance computing instead of hashing Bitcoin. More than $70 billion in AI and computing contracts have now been signed across the listed miners, with operators including TeraWulf, IREN, Core Scientific, and Galaxy Digital handing large blocks of energy capacity to AI tenants on long-term deals.

Funding that shift came at a cost to the network. Public miners offloaded a record amount of Bitcoin in the first quarter of 2026, more even than during the quarter of the Terra collapse in 2022, and the network hashrate fell over the period for the first time since 2020. The market has applauded the move: several miners that pivoted towards AI have seen their shares climb this year while Bitcoin has fallen. Capital that once flowed into the crypto ecosystem is now being rewarded for leaving it.

Liquidity could be the bigger story

Step back from the headlines, and the deeper driver may simply be liquidity. Bitcoin has long ranked among the most sensitive assets to the global liquidity cycle, often turning ahead of it. Michael Howell of CrossBorder Capital argues that the cycle peaked in 2025 and has since rolled into a downswing, the kind of backdrop in which Bitcoin tends to feel the squeeze before anything else. Benjamin Cowen of Into the Cryptoverse reaches a similar conclusion from a different direction, suggesting crypto has entered a later, more defensive stage of the cycle where rallies tend to be short-lived rather than the start of something larger.

Neither view is a certainty, but both sit comfortably with what the tape is showing. Restrictive policy, high yields, and a firm dollar press hardest on a long-duration, no-yield asset like Bitcoin, while AI leaders stay insulated by the profits funding their growth.

On the charts

The contrast is stark technically. The Nasdaq has surged roughly 35% from its late-March low to current levels near 30,500, one of its strongest runs in recent years, holding above both the 20 and 50 EMAs with the nearest support around 29,500.

Bitcoin tells the opposite story. Price broke below the 70,000 support on 2 June, triggering the year’s largest liquidation cascade, and has now fallen all the way back to test the range lows around 62,000. Price is sitting in the low 60,000s, beneath the 20 and 50 EMAs now stacked overhead in the low-to-mid 70,000s. The daily RSI is deeply oversold near 18, a level last seen during February’s sell-off near 60,000. The 70,000 mark that once acted as support has flipped to resistance, while 60,000 is the support now firmly back in focus if selling continues.

Laying the two side by side shows when the relationship broke. From February, when Bitcoin rose to around 60,000, the Nasdaq and Bitcoin moved broadly together for months. Around 13 May, that changed: the Nasdaq pushed on to records near 30,500, while Bitcoin rolled over towards the low 60,000s. The lines that had tracked each other all spring visibly split, and that divergence is the story.

What to watch from here

The near-term tells are reasonably clear. On the equity side, the question is whether the Nasdaq can defend its record-high structure or start to show the AI bid fading. On the crypto side, it is whether Bitcoin can reclaim $70,000 or slips further towards 60,000. Underneath both, any turn in global liquidity, a shift from the Fed, or a reversal in ETF flows would be the signal that the backdrop is changing, and the clearest sign of all would be capital rotating back towards crypto rather than away from it.

Navigating Shifting Market Leadership with PrimeXBT

As capital moves between asset classes, traders increasingly need the flexibility to follow opportunities wherever they emerge rather than remaining focused on a single market. The current divergence between Bitcoin and AI-driven equities is a reminder that leadership can shift quickly, creating opportunities across both crypto and traditional financial markets.

PrimeXBT, a global multi-asset broker and crypto asset service provider, provides access to Crypto Futures, Crypto CFDs, Forex, Indices, Commodities, and Stocks from a single platform, allowing traders to monitor and trade multiple markets as trends evolve. For crypto-native traders, the ability to fund accounts with Bitcoin and other cryptocurrencies creates a direct bridge between digital assets and global financial markets, enabling them to use existing crypto holdings to access a broader range of trading opportunities.

The broker’s PXTrader 2.0 platform combines competitive trading conditions with advanced charting powered by TradingView, professional-grade analytical tools, and integrated risk management features such as adjustable leverage and Stop Loss and Take Profit orders. In environments where correlations are changing and market narratives are evolving, these tools can help traders analyse opportunities across markets while managing risk more effectively.

Whether leadership remains concentrated in AI-driven equities or rotates back towards crypto, traders will be closely watching where capital flows next. 

Start trading with PrimeXBT

About PrimeXBT

PrimeXBT is a global multi-asset broker and crypto asset service provider trusted by traders in more than 150 countries. The platform bridges traditional and digital markets within one integrated environment, redefining versatility and innovation in online trading. Clients can access Forex, CFDs on indices, commodities, shares, crypto, and Crypto Futures, as well as buy, store, and exchange cryptocurrencies.

This unified experience extends across both the native PXTrader 2.0 platform and MetaTrader 5, supported by advanced risk-management tools and a wide range of funding options in crypto, fiat, and local payment methods. Since 2018, PrimeXBT has focused on empowering traders through broad multi-asset access, fair and transparent conditions, professional-grade technology, and dedicated human support. By combining expertise, trust, and a client-first approach, PrimeXBT sets a benchmark of excellence in the financial industry and provides traders with the tools they need to trade, grow, and succeed with confidence.

Disclaimer: The content provided here is for informational purposes only and is not intended as personal investment advice and does not constitute a solicitation or invitation to engage in any financial transactions, investments, or related activities. Past performance is not a reliable indicator of future results. The financial products offered by the Company are complex and come with a high risk of losing money rapidly due to leverage. These products may not be suitable for all investors. Before engaging, you should consider whether you understand how these leveraged products work and whether you can afford the high risk of losing your money. The Company does not accept clients from the Restricted Jurisdictions as indicated on its website / T&Cs. Some products and services, including MT5, may not be available in your jurisdiction. The applicable legal entity and its respective products and services depend on the client’s country of residence and the entity with which the client has established a contractual relationship during registration.