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After the U.S. midterm elections, concerns about tightening AI regulations and slowing data center construction have intensified, leading to a significant sell-off in U.S. tech stocks. On November 5, the "Seven Sisters" of U.S. stocks lost approximately $1.04 trillion in market value in a single day, with Nvidia dropping 9.26%, resulting in a loss of over $440 billion in market value, which is 2 to 4 times the decline of core clients like Microsoft, Google, and Amazon.The financial pressure on AI infrastructure investment is increasing. In the third quarter of this year, the combined operating cash flow of Microsoft, Google, Amazon, and Meta was no longer sufficient to cover fixed asset expenditures, with a funding gap of about $26.4 billion, whereas a year ago, the four companies still had a cash flow surplus of about $61.7 billion. Amazon's free cash flow turned from $14.8 billion in the past 12 months to a net outflow of $42.4 billion, while Meta's free cash flow turned negative for the first time in over a decade, and Google's long-term debt increased from about $20 billion to $125 billion.On Election Day, out of 41 local propositions related to data centers in 10 U.S. states, 40 of the voting results leaned towards restricting development, with 27 restrictive or oppositional propositions being passed. Research firm SemiAnalysis predicts that the impact of related policy changes on projects already underway by 2027 will be limited, but it may affect computing power expansion plans for 2028 and beyond. More than 90% of Nvidia's revenue comes from data center business; during the same period, Google Cloud's operating profit in the third quarter reached three times that of the same period last year, AWS's operating profit increased from $11.4 billion to $17.8 billion, and Microsoft Azure's revenue grew by 48%.

After the U.S. midterm elections, the tech stock sell-off spread to Asia, with South Korea's KOSPI dropping 9% during trading, triggering a circuit breaker, and the Nikkei entering a technical bear market. The Asia-Pacific stock market evaporated over $1 trillion in a single day. Bitcoin fell about 6% to $75,600, with a smaller decline than tech stocks.

The Macro Paper account posted on platform X, stating that as of the time of the post, the market value of U.S. stocks had evaporated by $2.8 trillion that day, marking the largest single-day market value loss in history, surpassing the previous record of $2.69 trillion during the COVID-19 pandemic.Reader-supplied background information shows that the U.S. stock market lost about $2 trillion in market value that day; in comparison, on March 16, 2020, the market value loss was approximately $3.5 trillion. Elon Musk expressed surprise in the comments section, stating that he rarely sees similar situations.

The Macro Paper account published on platform X, stating that according to the data compiled by the company, the seven tech giants in the US stock market (Alphabet, Nvidia, Meta, Tesla, Amazon, Microsoft, Apple) have invested approximately 766 billion dollars this year, corresponding to a total market value evaporation of about 4.85 trillion dollars since the peak in 2026, which translates to approximately 6.33 dollars in market value evaporated for every 1 dollar invested.Breaking it down, Alphabet invested about 200 billion dollars, with a market value evaporation of approximately 1.62 trillion dollars; Nvidia invested about 7.4 billion dollars, with a market value evaporation of approximately 1.49 trillion dollars; Meta invested about 140 billion dollars, with a market value evaporation of approximately 501 billion dollars; Tesla invested about 20 billion dollars, with a market value evaporation of approximately 475 billion dollars; Amazon invested about 220 billion dollars, with a market value evaporation of approximately 378 billion dollars; Microsoft invested about 170 billion dollars, with a market value evaporation of approximately 197 billion dollars; Apple invested about 9 billion dollars, with a market value evaporation of approximately 194 billion dollars.Editor's note: The above investment criteria and market value drawdown starting point are as stated by the account, and independent third-party comparison criteria have not yet been disclosed.

According to Gate market data, the total market value of U.S. stocks evaporated by about $2.3 trillion approximately one hour after the market opened today. During the session, the S&P 500 briefly dipped to an intraday low of about 7394 points, falling approximately 3.83%, corresponding to a total market value that once evaporated by about $3 trillion. It has currently rebounded somewhat, with the market value evaporation narrowing to about $2.5 trillion.

According to CNBC, after the release of Alphabet's third-quarter financial report, the stock price fell more than 12% to $285, with a market value shrinking by nearly $500 billion. Despite Google Cloud's revenue growing 103% year-over-year, the market is still focused on earnings per share falling short of expectations and the negative free cash flow amid ongoing investments in AI infrastructure.Mike Khouw stated in a CNBC column that the fundamentals of Alphabet's core business remain intact, but a short-term rapid rebound faces two obstacles. First, multiple institutions have downgraded ratings, target prices, or future earnings forecasts. He pointed out that historically, stocks that have experienced concentrated downgrades tend to underperform the market or trade sideways in the following 30 days, and institutional rebalancing can also limit upward momentum. Second, the gap down after the earnings report further damaged the technical pattern.In terms of technical indicators, Alphabet's RSI has dropped to just over 20, and the MACD sell signal has strengthened. However, Khouw believes that with the stock price close to the 52-week low of $270.70, combined with an extremely oversold condition, further declines may be limited.In terms of trading strategy, Khouw suggested using a sell wide strangle options strategy to cope with the anticipated range-bound fluctuations. He believes that continued selling in the overall market poses the main downside risk, while unexpected positive news driving the stock price up rapidly could threaten the bullish call option selling side of the strategy.

Cryptocurrency analyst Darkfost stated that this round of deleveraging is driven by factors such as price declines, chain liquidations, and traders actively closing positions to reduce risk. Looking back at July this year, Ethereum also experienced a more severe contraction in open contracts, followed by stabilization and a rebound, with an increase of over 32%, and the price once breaking through 2800 USD. Deleveraging is part of the market adjustment process, and such phases are often accompanied by panic sentiment, which may also occur at the tail end of an adjustment.The overall performance of the altcoin market has been weak over the past three weeks, with Ethereum's price correcting by about 15%, and its market capitalization shrinking by approximately 54 billion USD. In the derivatives market, Binance's ETH open contract volume decreased by 1.3 billion USD in the past month, a decline of nearly 20%, dropping to 5.7 billion USD; the total amount of ETH open contracts across the network has fallen to 11.5 billion USD.

As chip stocks' market value evaporates by $1 trillion, ETF investors are pouring billions into the dip.The VanEck Semiconductor ETF attracted over $430 million in inflows over the past three days, while the Direxion Daily Semiconductor Bull 3X Shares ETF saw approximately $3.8 billion in inflows this week, setting a record. The Philadelphia Semiconductor Index has cumulatively dropped 12% over six days.

According to market information, A-share Yushu Technology fell nearly 3%, with its stock price dropping below 500 yuan per share for the first time, and a total market value of 202.1 billion yuan; on its first day of listing, the stock price reached a peak of 1100 yuan per share, and the market value once soared to 444.9 billion yuan. Currently, it has evaporated over 240 billion yuan compared to its market value peak.

According to Jinshi reports, C Yushu-W's stock price opened lower and continued to decline. By the close, it reported 603.08 yuan, down over 10%, with a total market value of 243.9 billion yuan. Based on the closing price of the previous trading day, Yushu Technology's market value evaporated by over 20 billion yuan during the day, and has decreased by over 200 billion yuan compared to the opening on the first day of listing.

SpaceX's stock price closed at $113.50 on Monday, down nearly 50% from the historical high of $225.64 in June, with a total market value evaporating by over $1.2 trillion, nearly equivalent to the entire market value of Tesla, another company owned by Musk. The stock has fallen on 13 out of the last 16 trading days.In the options market, the volume of put options exceeded that of call options on that day, but 4 out of the top 5 premium trades were neutral or bullish strategies. SpaceX will release its first post-IPO financial report next week, followed by the unlocking of the lock-up period on the second full trading day (August 6), allowing investors to sell up to 911.5 million shares, accounting for 20% of their eligible holdings. Market participants believe the impact of the unlocking may be less than widely feared, but it still poses pressure on the stock price trend.

Analyst Darkfost pointed out that since October 2025, the total market value of global Bitcoin treasury companies has shrunk from $396 billion to $272 billion, evaporating over $100 billion. During the same period, the total amount of Bitcoin held by these companies increased from 953,000 to 1.14 million—this decline in market value is entirely driven by the drop in coin price, rather than selling off.However, it is worth noting that since Bitcoin entered a significantly undervalued range in May of this year, the pace of accumulation has sharply slowed, nearly coming to a standstill. The most intensive buying period for these companies was concentrated between November 2024 and October 2025, with the holdings tripling in less than a year, and the buying price range was approximately $75,000 to $125,000—right in the historical high price range of Bitcoin.The current question is: since these companies have built up significant positions in the top range, will they sell at lower levels? Strategy has recently taken the lead in selling Bitcoin; will this behavior be emulated by other treasury companies, becoming a new source of selling pressure in the market? With the current total holding of 1.14 million coins, if more companies are forced to reduce their positions in a sluggish market to alleviate financial pressure, it could pose additional downside risks to Bitcoin prices.

SK Hynix evaporated $160 billion in market value in a single day (approximately 1 trillion RMB), with its total market value falling below the $1 trillion mark, while Bitcoin saw a slight rebound today. According to 8MarketCap data, Bitcoin's market value has returned to above $1.2 trillion, with a 24-hour increase of 2.41%, rising to the 16th position in the global asset market value ranking, surpassing storage giants such as Samsung, Micron, and SK Hynix.