Bitcoin traded at $64,370 on July 29, up 1.41%, while the secretary general of the Financial Stability Board warned that the AI sector could trigger another financial crisis. US mega-cap tech stocks lost more than $658 billion in July 2026, yet BTC climbed through the month. Traders now watch $64,600 as the level that decides the next move.
Bitcoin rose 1.41% on July 29 to trade at $64,370, holding its July gains while the AI trade unwound around it. John Schindler, secretary general of the Financial Stability Board, said the AI sector could trigger another financial crisis.
Speaking in an interview with Politico, Schindler compared the AI sector's gains to the dotcom period and noted that these new sectors tend to gain as investors chase the latest darling of the market. He also invoked the housing price bubble that preceded the great financial crisis: "We might be seeing that now".
Tech selloff strips $658 billion from US mega-caps
Schindler's warning landed as US mega-cap stocks lost more than $658 billion of their value in July 2026, according to brokerage platform IG Markets. Because of that decline, the Nasdaq-100 dropped to its lowest point since May 2026.
The drop shows up in single names too. Nvidia stock fell from $235 in May to $197 by market close on July 28. SPCX stock is down 50% since its June 12 IPO. Micron is down 28% in one month.
Bitcoin gains while AI stocks fall
Bitcoin moved the other way. BTC gained from $57,800 on July 1 to $64,000, a run that suggests investors could be rotating out of AI stocks. Some BTC miners are meanwhile shifting from mining to AI infrastructure.
Triangle pattern points to $72,352 or a retest of $60,000
On the four-hour chart, Bitcoin trades inside an ascending triangle, a pattern that usually suggests the upward trend could continue if price keeps making higher lows. BTC has bounced from support at the pattern's lower boundary at $63,000. But it needs to close above resistance at $64,600 to confirm the pattern is in play.
That triangle has a height of 12%, which on such a close could push BTC to $72,352. However, if buyers turn hesitant and price slips below that lower boundary, BTC could retest support at $60,000. A negative MACD line also supports a bearish long-term outlook, though its crossover above the signal line suggests bears are losing their grip.
Funding rate climbs as ETFs shed $526 million
Data from Coinglass shows Bitcoin's weighted funding rate has reached 0.0087%, the highest point since June 14, suggesting long buyers are increasing their positions. Institutional demand points the other way, with SoSoValue data showing BTC ETFs have posted four straight days of outflows.
Those funds have shed $526 million in four trading days, suggesting institutions are exiting Bitcoin as the price stalls between $64,000 and $65,000.
Source: CoinGape
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