Micron AI earnings boost crypto slightly after the chipmaker delivered blowout Q3 results. Bitcoin climbed back above $60,000 after markets closed.
Nevertheless, bullish AI sentiment will ultimately pull more liquidity away from crypto.
Why Micron AI earnings boost crypto but drain liquidity
Micron shares surged 16% in premarket trading on Thursday after the memory chipmaker’s Q3 guidance exceeded Wall Street expectations. Specifically, Q3 revenue came in at $41.5 billion versus estimates of $35.7 billion. Earnings per share reached $25.11 compared with expectations of $20.49..
Memory chips have become the backbone of AI infrastructure, particularly high‑bandwidth memory (HBM), which is essential for training and running large AI models. CEO Sanjay Mehrotra told analysts there was “no line of sight” to when supply would catch up with demand. Consequently, the shortage is expected to persist well beyond 2027.
The company also issued strong Q4 guidance, forecasting revenue of approximately $50billion. That is well ahead of Wall Street expectations of $43.2 billion.
The AI boom has weighed heavily on the crypto market this year. Specifically, bitcoin is now more than 50% below its October all‑time high, trading at the $60,000 level.
AI stocks surge, crypto miners follow
Following the earnings report, SanDisk (SNDK) and SK Hynix each jumped around 13%. Additionally, SK Hynix, which leads the HBM market, is reportedly exploring a US listing that could value the company at around $30 billion.
AI-linked crypto miners also moved higher. For example, IREN (IREN) and Cipher Digital (CIFR) both rose around 3% in premarket trading.
Therefore, while Micron AI earnings boost crypto momentarily, the broader trend favors AI stocks. Capital continues flowing toward yield‑bearing assets and artificial intelligence equities. Consequently, this leaves fewer catalysts for aggressive positioning in crypto.