AI Bubble Fears Impact Global Stock Markets and Bitcoin on November 18, 2025
On November 18, 2025, global stock markets experienced declines amid growing fears of an AI bubble, according to Sky News. The Nasdaq closed below a key technical indicator for the first time since late April, signaling market caution. Investors are concerned about high valuations in the AI sector and substantial AI-related investment spending, which could delay returns.
Regional markets were broadly down, with the Nikkei 225 falling over 3%, the Hang Seng declining about 1.7%, the FTSE 100 down around 1%, the DAX dropping about 1.2%, and the CAC falling approximately 1.3%. Stocks linked to AI have fallen more than 10% this month, entering correction territory.
Bitcoin also retreated, trading near $91,000 after reaching a peak of around $125,000 last month; it started the year near $94,000. Investor sentiment has worsened as expectations for additional U.S. interest rate cuts diminish, compounded by concerns over potential legal risks related to tariffs. Market participants are closely watching Nvidia's upcoming results, scheduled for Wednesday night, which are seen as crucial for determining the future direction of the AI-driven market rally.
