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DeepSeek AI crashes cryptocurrency market

27 January 2025 11:31by Максим Шило

The price of BTC fell below the $98,000 mark at one point, ETH dropped to $3,000, and SOL fell to $225. Cryptocurrency traders suffered losses amounting to $860 million.

The culprit is the Chinese AI DeepSeek, which proved to be more accessible and powerful than ChatGPT.

Investors are now beginning to question whether Nvidia's high valuation is justified, given that DeepSeek does not use graphics cards for its computations.

Meanwhile, the crypto market is experiencing a downturn, reacting to the decline in S&P 500 futures, which are also under pressure due to concerns about a potential AI bubble burst.

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DeepSeek AI crashes cryptocurrency market

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