CoinDesk
Bitcoin traded near $63,900 on Thursday, easing slightly from the $64,000 mark, as U.S. stock futures rose on strong results from Microsoft that reassured investors the heavy spending on AI is starting to pay off. S&P 500 futures gained 0.2% and Nasdaq 100 contracts climbed 0.4%, partially recovering from a recent correction, with Microsoft up 8% in premarket after its cloud unit grew at the fastest pace in four years while capex held the line.
Why it matters
The read the market has wanted all month arrived in Microsoft's print. Where Alphabet last week raised its spending forecast and unsettled investors, Microsoft showed the AI returns showing up without a bigger bill, a signal that the AI capex cycle is converting to revenue rather than just burning cash. Bitcoin has tracked that trade closely, moving with the chip and AI complex rather than on anything crypto-specific.
Market impact
The correlation between BTC and the AI trade has tightened through this risk-on rotation, and Microsoft's clean delivery gives the thesis fresh fuel. Key to watch next is whether the cloud growth pace holds through the rest of mega-cap earnings, or whether AI infrastructure names start to fade once the bar resets higher.
Frequently asked questions
-
Why did Bitcoin hold near $64,000 on Thursday?
BTC traded near $63,900 as U.S. stock futures rallied on Microsoft's earnings, which showed the company's cloud unit growing at the fastest pace in four years without a capex hike. Bitcoin rode the same risk-on wave as the Nasdaq.
-
How did Microsoft perform in premarket trading?
Microsoft jumped 8% in premarket after reporting that its cloud unit grew at the fastest pace in four years, while holding the line on AI-related capital spending.
-
How do Microsoft's AI results compare to Alphabet's?
Microsoft showed AI capex converting to revenue growth without a bigger spending bill. Alphabet, by contrast, raised its spending forecast the prior week and unsettled investors, making Microsoft's clean delivery the read the market wanted.
-
Is Bitcoin's price move driven by crypto-specific news?
No. The seed flags that Bitcoin has tracked the chip and AI complex rather than any crypto-specific catalyst, with the BTC-equity correlation tightening through this risk-on rotation.
-
What should investors watch next after Microsoft's earnings?
The next leg of the AI capex story depends on whether the rest of mega-cap cloud earnings confirm the conversion pace. If they do, the risk-on bid for Bitcoin has runway; if they fade, the rotation could unwind.
CoinTelegraph
Crypto News
TheBlock
Crypto Rank News
CryptoSlate
Whale Alert
WatcherGuru