Bitcoin Rebounds as Memory and Semiconductor Stocks Lose Momentum

After leading markets throughout 2026, AI-linked memory and semiconductor stocks are starting to lose upward momentum, prompting questions about whether capital may be rotating back into bitcoin.

This year’s strongest equity performers have been companies tied to AI infrastructure, particularly memory and chipmakers, which drew investor attention away from crypto as markets chased the dominant theme.

Now, that dynamic may be shifting as AI leaders soften and bitcoin rebounds from levels near its lowest point in almost two years.

ETF performance highlights the divergence. The Roundhill Memory ETF (DRAM) more than doubled in the first half of the year, while the VanEck Semiconductor ETF (SMH) rose about 60%, both benefiting from demand for AI computing power. In contrast, BlackRock’s iShares Bitcoin Trust (IBIT), the largest bitcoin ETF, has fallen roughly 30%, tracking bitcoin’s decline.

The rally in AI-linked equities has been driven by names such as Sandisk (SNDK), up more than 530% this year on demand for NAND flash memory used in AI servers, smartphones, and data centers, and Micron Technology (MU), which has gained over 230% as a major supplier of DRAM and high-bandwidth memory used in AI infrastructure.

More recently, however, signs of fatigue have emerged.

The Roundhill Memory ETF has retreated about 25% from its June 22 peak, while the VanEck Semiconductor ETF has dropped roughly 12%. At the same time, bitcoin briefly fell below $58,000 on July 1 before recovering above $61,000.

Selling pressure in AI-related stocks intensified midweek after reports that Meta Platforms (META) is forming a new division, Meta Compute, to monetize excess GPU capacity by selling it to external customers.

The development weighed on companies that had benefited from the AI compute boom, especially “neocloud” firms providing GPU infrastructure for AI workloads. This includes former bitcoin miners such as IREN, Cipher Digital (CIFR), and TeraWulf (WULF), each of which has fallen at least 20% from recent highs.

While it is still too early to confirm a sustained rotation, the recent weakness in semiconductor leaders alongside bitcoin’s rebound may be an early sign that investors are beginning to rebalance exposure between AI infrastructure and digital assets.