# Crypto and tech are both in 'extreme fear' — short the Nasdaq as the double-sell-off accelerates

_AI-generated trading idea · SHORT · MSFT, QQQ_

> Canonical page: https://commonquant.ai/research/for-you/crypto-and-tech-are-both-in-extreme-fear-short-the-nasdaq-as--2bce487a-28fb-40b8-b8b5-bc9cd3ba0135

Bitcoin is crashing to 21-month lows at the same time that tech stock investors are panicking over massive spending bills at companies like Microsoft. The tech 'fear gauge' is near a two-decade high. This isn't just a bad week — it's a broad unwind of the riskiest investments on the market, and the selling pressure looks far from over.

## Idea

The combination of Bitcoin's crash to $58K, Microsoft's historic June rout, and a two-decade-high tech fear gauge signals a coordinated risk-off event. Bitcoin dropping to 21-month lows confirms 'extreme fear' is spreading beyond just stocks. Microsoft's selloff specifically shows that even mega-cap tech is losing its safe-haven status as investors reject massive AI spending. When the fear gauge is this elevated and Bitcoin confirms the panic, the downward momentum typically continues.

## Key details

- Symbols: MSFT, QQQ
- Timeframes: D1
- Tags: \#risk\_off, \#capex\_fatigue, \#correlated\_selloff

## Community

- Upvotes: 14
- Views: 4
- Copies: 0
- Cosigns: 0

## News sources

- [Bitcoin crashes to 21-month low as 'extreme fear' grips investors](https://finance.yahoo.com/markets/crypto/articles/bitcoin-crashes-21-month-low-173042239.html) — Yahoo Finance
- [This tech 'fear gauge' is nearing a two-decade high. Investors should worry.](https://www.marketwatch.com/story/this-tech-fear-gauge-is-nearing-a-two-decade-high-investors-should-worry-691ed639?mod=mw_rss_topstories) — MarketWatch
- [Microsoft's stock is suffering a historic June rout as investors balk at heavy spending](https://www.marketwatch.com/story/microsofts-stock-is-suffering-a-historic-june-rout-as-investors-balk-at-heavy-spending-9afaef1b?mod=mw_rss_topstories) — MarketWatch

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