Live markets: Bitcoin trades above $65,000 as Alphabet's bigger AI bill props up the chip trade
Bitcoin is trading above $65,000 as investors react to Alphabet's increased AI infrastructure spending. While Alphabet's stock dipped due to high capital expenditure, the broader chip market saw gains on expectations of sustained AI demand.
Why it matters
The report illustrates the interconnectedness of AI infrastructure investment, semiconductor market performance, and cryptocurrency price trends.
The market stayed quiet through Alphabet's earnings, the report the whole week had been waiting on for a read on AI spending.
Alphabet delivered a split verdict. Revenue rose 24% to $119.8 billion and cloud grew 82%, both ahead of expectations, but the company lifted its 2026 capital spending forecast again, to $195 billion to $205 billion from $180 billion to $190 billion, citing a "supply-constrained" scramble to meet AI demand.
Its stock fell after hours as investors weighed the heavier spend against slimmer free cash flow.
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