Bitcoin moved back above the $60,000 mark for the first time in more than a week after Federal Reserve Chair Kevin Warsh indicated that inflation pressures had eased. Among major tokens, Solana led the gains, climbing roughly 16% over the past week, while a selloff in semiconductor stocks weighed on Asian markets and weakened the AI-driven rally that has drawn capital away from crypto throughout the quarter.
Bitcoin was trading above $60,700 on Thursday following a swift overnight rebound, as Warsh’s remarks provided a boost to a market that had spent most of June trending lower. Speaking at the European Central Bank’s annual forum in Sintra, Portugal, Warsh noted that “inflation risks have come down” while reiterating the Fed’s commitment to bringing inflation back to its 2% target.
He stopped short of offering guidance on the central bank’s next policy move, emphasizing that officials would assess incoming economic data ahead of the upcoming meeting. After his comments, bitcoin reversed earlier declines and climbed back above $60,000.
Solana outperformed other major cryptocurrencies, rising about 4% on the day to around $78 and posting a weekly gain of roughly 16%, making it the only large-cap token with notable weekly strength. Ether traded near $1,630, up around 3%, while XRP hovered at approximately $1.06. Meanwhile, BNB, dogecoin, and Tron showed weaker performance over the week.
Equity markets saw more pronounced moves. Semiconductor stocks led a broader selloff that extended into South Korea, where the Kospi index dropped nearly 7% before trimming losses. Shares of Samsung Electronics and SK Hynix each fell more than 6%, while Japan’s Kioxia plunged 13% after a rally that had pushed its stock up more than 650% this year.
The pullback reignited concerns that the rapid surge in artificial intelligence stocks may have outpaced underlying fundamentals.
Two developments added to market unease. Reports indicated that Meta is building a cloud platform to monetize excess AI computing capacity, raising fears of overinvestment. Separately, Apple is reportedly in discussions to source chips from Chinese manufacturers, a move that could negatively impact Korean suppliers.
The AI sector has attracted significant capital this quarter, coinciding with bitcoin’s decline and contributing to one of its rare consecutive quarterly losses. As funds rotated into chipmakers and AI infrastructure, crypto markets struggled through a weak first half, suggesting that any cracks in the AI trade could reduce the pressure on digital assets.
In commodities, Brent crude fell to around $70.60 per barrel, its lowest level since late February before the onset of conflict in the Middle East, as shipping activity through the Strait of Hormuz normalized.
Gold extended its gains for a second consecutive day, trading above $4,060 per ounce following Warsh’s remarks, while the U.S. dollar stabilized after two days of advances.
Whether bitcoin can sustain its move above $60,000 may depend on whether the weakness in AI-related equities develops into a broader shift back toward risk assets or proves to be a temporary pullback.
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