AI Confidence and Economic Concerns Set Crypto Strength Against Market Downturn

On November 18, 2025, the three primary U.S. stock indices ended lower, reflecting ongoing struggles in traditional markets, while assets and stocks linked to cryptocurrencies demonstrated notable resilience. The Nasdaq Composite dropped by 1.1%, and the Dow Jones Industrial Average also declined as overall market sentiment weakened. In contrast, digital asset prices and related shares moved against the prevailing trend, with

climbing back above $93,000 after a steep fall earlier in the day, and equities connected to artificial intelligence (AI) infrastructure and digital currencies attracting renewed investor attention .

Nvidia (NVDA), a key player in the AI sector, is scheduled to announce its quarterly results after Wednesday’s closing bell, with market analysts projecting a 54% annual increase in earnings per share to $1.25 and revenue reaching $55 billion

. Companies with strong performance ties to Nvidia, such as Taiwan Semiconductor Manufacturing (TSMC) and (SMCI), have experienced significant gains in 2025, fueled by expectations for ongoing demand for AI-related hardware. , which shares a 57% 60-day correlation with , has advanced 41% so far this year, and Bank of America has raised its price target to $390, suggesting a potential 38% increase . , with a 55% correlation, is up 15% year-to-date after Argus issued a buy recommendation, citing the stock’s undervaluation compared to its growth outlook .

Elsewhere, the cryptocurrency sector staged a brief rally, with bitcoin gaining 1% and

, , and rising between 2.5% and 4% . This outperformance was a rare break from the pattern of traditional assets outperforming crypto in recent months. Still, experts warned that the rebound was short-lived, with the crypto market continuing to face downward pressure from inflation worries and over $1 billion in leveraged position liquidations . “At this stage, it’s just a brief event lasting a few hours,” Coindesk observed, noting that digital assets remained weaker than stocks and gold despite the uptick .

AI infrastructure firm Amperesand has raised $80 million in Series A funding, led by Temasek and Walden Catalyst Ventures, reflecting strong investor faith in advanced power solutions for data centers. The company’s solid-state transformer innovation is designed to reduce installation time and electrical footprint by more than 80%, with plans to roll out 30 megawatts of commercial systems in 2026

. This milestone highlights the sector’s attractiveness as demand for AI computing power surges, even as broader markets remain under pressure.

Home improvement retailer Home Depot (HD) dragged down the Dow after missing third-quarter earnings expectations and cutting its full-year profit forecast. Adjusted earnings per share came in at $3.74, below projections and down 1.4% from the previous year, with CEO Ted Decker attributing the results to softer demand, fewer weather-related sales, and challenges in the housing market

. The company’s shares fell 2-3% in premarket trading, heightening worries about a prolonged downturn in home improvement spending .

Stocks connected to cryptocurrencies also moved independently of the broader market decline. MicroStrategy (MSTR) jumped 8.3% after a month of losses, while Bitmine Immersion (BMNR) and Coinbase (COIN) advanced 7% and 1.5%, respectively

. Grayscale Investments, a major crypto asset manager, has filed for an IPO despite seeing a 20% drop in revenue over the first nine months of 2025, citing ongoing market volatility and regulatory challenges .

The current market landscape illustrates a push and pull between optimism surrounding AI and broader economic challenges. While Nvidia’s upcoming earnings could spark renewed enthusiasm in the tech sector, persistent inflation and high-risk crypto positions continue to put pressure on riskier assets. Investors are closely monitoring inflation reports and central bank decisions, which may determine whether the recent crypto rally can develop into a lasting recovery.