Bitcoin Price Prediction as Nasdaq-100 Hits 11-Week Low on AI Spending Fears

Bitcoin (BTC) price is under macro headwinds as the Nasdaq-100 index drops to its lowest point since May 5 amid fears around heavy AI spending by tech giants.

Bitcoin price is down by 2.49% today, July 25, to trade at $63,956 at the time of writing with $22.84 billion in volumes per CoinMarketCap data.

BTC Price in Focus as Nasdaq-100 Plummets

Data from TradingView shows that the Nasdaq-100 index closed trading at 28,128 points on July 24. This marks the lowest points seen by this index in eleven weeks.

The drop comes amid fears that tech companies are investing heavily in AI, and this is leaving them with reduced cash flows and mounting debts. CoinGape earlier reported that Alphabet purchased $94 billion worth of SpaceX stock during the June IPO.

The CEO of Andersen Capital Management, Peter Andersen, notes that investors are worried about whether these investments will bear returns and the effect it will have on the value of their shares.

“People are thinking, how do we make sense of all this spending, and how much more patient do we have to be before we actually see it translate to actual profits?” he said.

These concerns are pushing the Nasdaq 100 index lower, and Bitcoin, which often trades like a tech stock, is also plummeting.

Bitcoin Price Faces Resistance at 200-Week EMA

The price of Bitcoin is facing resistance at the 200-week EMA of $68,284. BTC has not traded above this EMA since June 1.

The volume histogram bars that have turned red suggest that selling pressure is rising again. This likely stems from traders who are selling to take profits after BTC moved to $66,900 on July 21.

This selling pressure could hinder a move above the 200-week EMA of $6,284. BTC needs to close above this price for a sustained uptrend to occur.

The RSI reading of 39 supports a bearish long-term Bitcoin price prediction. It suggests that the momentum is still favoring bears. Still, the RSI line has made a higher low, suggesting that bears are losing their grip.

If Bitcoin price fails to move above the 200-week EMA and selling pressure remains higher than the buying pressure, it could fall to the psychological support of $60,000.

BTC ETFs Post Weakest Inflows in Three Weeks as Institutional Demand Fades

Data from SoSoValue shows that BTC ETFs had $33 million in inflows in the week between July 20 and July 24. This marks the least inflows the ETFs have seen in three weeks.

CoinGape earlier reported that institutional demand for Bitcoin ETFs is fading because of the recent rise in US Treasury yield to 4.71%. This marks the highest yield seen since January 2025.

When the US Treasury Yield rises, it makes investors turn away from risk assets like Bitcoin and go towards government bonds that will give them a better yield while being less risky.