The recent launch of the artificial intelligence model by Chinese startup DeepSeek has sparked a significant reaction in global financial markets, including the cryptocurrency sector. DeepSeek has introduced a groundbreaking AI model that operates on less advanced chips and at a lower cost compared to its American competitors, such as OpenAI. This breakthrough has raised concerns about the potential overvaluation of technology stocks and the high investment by large companies in the sector in their AI developments.
The successful launch of DeepSeek’s model led to sharp declines in the shares of technology companies in the United States and Europe, especially those focused on technology and large companies such as Nvidia, Microsoft, Meta and Alphabet. These declines in traditional markets have had repercussions in the cryptocurrency market, which often has a high correlation with the Nasdaq 100 index in times of stress. As a result, cryptocurrencies such as Bitcoin, Ethereum, XRP, Solana and Dogecoin have seen significant declines in their values.
This event highlights the interconnection between technological advances and financial markets, highlighting how innovations in artificial intelligence can influence not only the traditional technology sector, but also the cryptocurrency market.
