AI crypto sector market cap fell 16% in October; Apple earnings and US midterm elections in November may become the next round of triggers.

BlockBeats news, November 2, according to AMBCrypto, concerns over high AI spending, rising debt, and uncertain returns have impacted AI-related US stocks, with the sell-off spilling over into the crypto market, leading to a significant pullback in the AI-themed crypto sector in October. CoinPaprika data shows that the sector's total market capitalization fell from approximately $16.32 billion on October 3 to about $13.72 billion on October 31, evaporating roughly $2.6 billion, a decline of about 16%; previously in September, the sector had surged about 54%, far exceeding the overall crypto market's gain of about 24% during the same period.

The largest AI-related crypto asset by market cap, NEAR, fell over 16% during the same period, with its market cap evaporating more than $200 million, wiping out nearly half of its approximately 178% gain in September. During the same period, Nvidia's stock price fell over 10% for the month; on October 30, the Nasdaq dropped 2.86%, Nvidia fell 4.2%, AMD dropped 10.9%, and the Nasdaq 100 Index fell over 5.8% cumulatively in October. Intel and Amazon's earnings also fell short of expectations. Looking ahead to November, Apple's earnings, the US midterm elections, and key economic data may become the next round of triggers: if Apple's performance is strong, it could reinforce the AI narrative; if disappointing, AI-themed cryptocurrencies may continue to face pressure.