A sharp selloff in U.S. technology stocks intensified market volatility after Microsoft shares fell about 11 percent following an earnings report that highlighted rising costs and slower growth in cloud services. The decline weighed on broader equity sentiment, prompting investors to reassess exposure to risk assets amid mounting macro uncertainty. Several major technology names moved lower alongside Microsoft, contributing to a wider retreat across global markets. As equities weakened, cryptocurrencies also came under pressure, with heightened volatility spilling into digital asset trading. Traders said the combination of weaker corporate earnings, geopolitical tension, and policy uncertainty has driven a cautious shift in positioning, even as some investors look for relative stability outside traditional tech stocks.
Bitcoin experienced a sharp pullback during early U.S. trading, triggering widespread liquidations across crypto exchanges as overleveraged positions were wiped out. Data showed roughly 270,000 accounts were liquidated within 24 hours, with the majority of losses concentrated in long positions tied to Bitcoin and Ethereum. Rapid price declines forced margin calls and stop orders, amplifying volatility and creating temporary price gaps on some platforms. Analysts said the move reflected a broader risk-off reaction rather than a crypto-specific shock, as traders reduced leverage in response to tightening financial conditions. Bitcoin was seen hovering near a higher-timeframe support range that has held in recent months, making its next move closely watched by market participants.
Beyond earnings, geopolitical and policy concerns added to the pressure. Rising tensions in the Middle East, combined with renewed tariff-related rhetoric from President Trump, weighed on global risk appetite, while gold and silver continued to push to fresh highs. Some analysts cautioned that the outperformance of precious metals could persist, limiting near-term upside for crypto if macro stress remains elevated. Others argued that the scale of liquidations suggests much of the leverage-driven selling has already occurred, potentially reducing downside momentum. With equities, commodities, and digital assets all reacting to shifting macro signals, traders remain focused on whether Bitcoin can stabilize at current levels as markets digest the tech-led selloff.
