Bitcoin falls on Nvidia resignation as tech stocks slid on Thursday. Specifically, BTC dropped below $72,000 for the first time since August 20. Consequently, month-to-date losses reached 7.4%.
Why Bitcoin falls on Nvidia resignation
Nvidia CEO Jensen Huang resigned immediately. As a result, NVDA fell nearly 13% at the Wall Street open. Turmoil at Nvidia dragged stock markets downward.
The company issued a press release. “Colette Kress has agreed to serve as Interim Chief Executive Officer,” it stated. Kress remains CFO while serving as interim CEO. The board will consider internal and external candidates for a permanent successor.
Economist Mohamed El-Erian commented on the move. He called it a “significant development” with implications beyond Nvidia. “The situation will remain in the spotlight,” he wrote. He cited the loss of a highly influential founder. He also noted various political investigations.
Despite selling pressure on Nvidia shares, the Nasdaq Composite avoided major losses. It traded 0.6% lower at press time.
Bitcoin falls on Nvidia resignation below key moving average
BTC/USD fell back below its 21-week simple moving average. That level stood at $73,078 on Wednesday.
Analyst Keith Alan highlighted Friday’s US Producer Price Index release. He is cofounder of Material Indicators. He assessed near-term macro volatility catalysts beyond Nvidia.
On Tuesday, October CPI came in above expectations. Consequently, markets priced in more Fed rate hikes.
“A cool PPI report that lowers the odds of aggressive rate hikes could easily flip this script bullish,” Alan wrote on X. He added that an in-line PPI could keep price between nearby liquidity patches.
CoinGlass data showed BTC cutting through bid liquidity. Meanwhile, 24-hour crypto liquidations hit $730 million.
Key takeaway
Bitcoin falls on Nvidia resignation to below $72,000. The stock sell-off and macro uncertainty weigh on prices. Therefore, traders should watch Friday’s PPI data and the $72,000 support zone.