The AI trade just had its worst day in months, and it started 7,000 miles from Wall Street.
On June 23, South Korean chipmakers SK Hynix and Samsung Electronics each plunged more than 12%, dragging the country’s Kospi index down roughly 10% and triggering circuit breakers that halted trading entirely. The carnage spread fast. Nasdaq 100 futures dropped about 2.6% in early US trading, S&P 500 futures fell 1.4%, and the European Stoxx 600 tech index shed 3.1%.
What happened in Asia
The selloff centered on memory chip giants that had been among the biggest beneficiaries of the AI infrastructure buildout. SK Hynix, a dominant supplier of high-bandwidth memory used in AI accelerators, and Samsung Electronics, the world’s largest memory chipmaker, both saw their shares crater by double digits in a single session.
South Korea’s Kospi index, heavily weighted toward semiconductors, fell hard enough to trip automatic circuit breakers. Trading was paused to let participants catch their breath, but when it resumed, sellers were still in control.
The bubble question, again
The AI rally that began in earnest in 2023 has delivered staggering returns for semiconductor companies. Nvidia became one of the most valuable companies on Earth. Memory chipmakers rode a wave of data center demand, and major indices hit record after record, powered largely by a handful of AI-linked names.
Analysts have pointed to several factors converging at once: concerns about whether AI chip demand can sustain its current trajectory, shifts in production capacity toward lower-margin products raising questions about profitability, and a broader investor mood that has shifted toward caution.
This isn’t the first warning sign in June 2026 either. Earlier in the month, a bout of volatility wiped billions off AI-linked megacap stocks.
Why crypto investors should pay attention
Bitcoin and major altcoins have historically correlated with the Nasdaq during periods of risk-off sentiment. A 2.6% drop in Nasdaq 100 futures before the US market even opens is the kind of signal that tends to ripple through digital asset markets within hours.