Last week’s selloff began outside traditional equities, with crypto, gold, and silver seeing sharp declines first. Stocks were already under pressure at that point, but those early moves mattered because they signaled that liquidity and risk appetite were deteriorating faster than equity prices alone suggested.
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That warning intensified this week.
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As selling continued, pressure spread more forcefully into equities, with software and technology absorbing the heaviest losses. Bitcoin fell as low as ~$60,000 — down roughly 20% over the past month — and stocks moved lower alongside it. Software and services companies alone lost roughly $830 billion in market value in six trading days, marking the sector’s worst drawdown since 2022. Dip-buying, which had repeatedly stabilized prior tech pullbacks, was largely absent.
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This wasn’t driven by a single headline or a sudden break in economic data. It was the result of crowded positioning unwinding across multiple asset classes at once, with losses feeding into each other rather than staying isolated.

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