More than $1tn (\u00a3760bn) has been wiped off the value of the cryptocurrency market in the past six weeks amid fears of a tech bubble and fading expectations for a US rate cut next month.<\/p>\n
Tracking more than 18,500 coins, the value of the crypto market has fallen by a quarter since a high in early October, according to the data company CoinGecko.<\/p>\n
Bitcoin has fallen by 27% over the same period to $91,212, its lowest level since April.<\/p>\n
Investors around the world are on edge as fears mount over an artificial intelligence bubble in the stock market, with even the boss of Google\u2019s parent company warning that \u201cno company\u201d will be immune if the bubble bursts<\/a>.<\/p>\n The UK\u2019s blue-chip FTSE 100 index was down by 1.2% on Tuesday, its fourth day in the red in a row. The Stoxx Europe 600, which tracks the biggest companies on the continent, fell 1.2%.<\/p>\n It follows steeper falls in Asia, where in the Japan the Nikkei 225 index shed 3.2%. Hong Kong\u2019s Hang Seng index dropped 1.7%.<\/p>\n Sundar Pichai, the head of Google\u2019s parent company, Alphabet, said in an interview with the BBC that there was \u201cirrationality\u201d in the current AI boom<\/a>. He warned that in the event that the AI bubble bursts, \u201cno company is going to be immune, including us\u201d.<\/p>\n The chief executive of Klarna, Sebastian Siemiatkowski, also sounded the alarm this week, warning that huge sums being poured into computing infrastructure made him \u201cnervous\u201d.<\/p>\n He told the Financial Times: \u201cI think [OpenAI] can be very successful as a company but at the same time I\u2019m very nervous about the size of these investments in these datacentres. That\u2019s the particular thing that I am concerned about.\u201d<\/p>\n The Klarna co-founder added that the rising valuation of AI companies, including the chipmaker Nvidia, was also a source of concern. Nvidia became the first company to hit a market value of $4tn this year, later followed by Apple and Microsoft.<\/p>\n \u201cThat makes me nervous, because of the amount of wealth that is currently automatically allocated into this trend, without some more thoughtful thinking,\u201d Siemiatkowski said.<\/p>\n \u201cYou can say, \u2018I disagree with the fact that Nvidia is worth that much and I don\u2019t care, some rich people are going to lose some money.\u2019 But the truth is, because of the index funds and how this works, your pension right now is going into that theory that it is a good investment.\u201d<\/p>\n skip past newsletter promotion<\/a><\/p>\n Sign up to Business Today<\/p>\n Get set for the working day \u2013 we’ll point you to all the business news and analysis you need every morning<\/p>\n Privacy Notice: Newsletters may contain information about charities, online ads, and content funded by outside parties. If you do not have an account, we will create a guest account for you on theguardian.com<\/a> to send you this newsletter. You can complete full registration at any time. For more information about how we use your data see our Privacy Policy<\/a>. We use Google reCaptcha to protect our website and the Google Privacy Policy<\/a> and Terms of Service<\/a> apply.<\/p>\n after newsletter promotion<\/p>\n