Bitcoin hit a two-week high near $65,500 on Tuesday, reversing last week’s semiconductor-led selloff as Asian chip stocks staged a powerful rebound. The largest cryptocurrency gained 1% on the day and 5% over the past seven sessions, with trading volume reaching roughly $33 billion.
Chip Trade Reverses, Boosting Crypto
The turnaround came as Asian semiconductor shares surged, unwinding the pressure that had previously hammered crypto markets. Just days earlier, ether cratered twice as hard as bitcoin amid the unwinding of the AI chip trade, underscoring how tightly digital assets have become linked to the sector. Ether again led the majors on Tuesday, rising 3% to $1,922 and extending its weekly advance to 8%.
Institutional Inflows Build Momentum
Supporting the rally, U.S. spot bitcoin ETFs recorded a fifth consecutive day of net inflows, totaling more than $600 million. The buying streak is the strongest since mid-July and signals renewed institutional appetite. Broader market participants are also watching corporate treasury moves; Saylor’s Strategy raised cash reserves to $3.2 billion while keeping its bitcoin holdings unchanged, illustrating the delicate balance between liquidity and long-term exposure.
AI Compute Stocks Join the Rebound
The improved sentiment extended beyond cryptocurrencies. AI compute stocks bounced as Hut 8 and IREN landed multi-billion dollar contracts, further reinforcing the link between the chip sector and risk assets. XRP added 3% to $1.13, Solana rose 2% to $78, and BNB held at $574, showing broad-based gains across the altcoin market.
