The Korea Composite Stock Price Index (KOSPI) fell 5.5% on Tuesday, now down approximately 38% from its June historical high. Meanwhile, Bitcoin rebounded from a summer low of $58,000 to $87,000, showing a moderate negative correlation (-0.41) with the KOSPI.

The KOSPI's decline was primarily driven by increasing concerns over AI spending prospects and the impact of Chinese competition. Broadcom CEO Hock Tan likened speculative AI investments to casino gambling, intensifying market doubts about whether the AI industry can generate sufficient returns to justify massive infrastructure spending. Additionally, technological advancements by Chinese memory chip competitor CXMT have exacerbated concerns about the long-term profitability of chip manufacturers.

As a result, SK Hynix and Samsung Electronics fell by approximately 10% and 7%, respectively. In pre-market trading, Micron Technology and SanDisk (SNDK) also dropped by about 3%. CoinDesk analysis suggests this divergence may indicate investors are reducing their exposure to AI trades, potentially benefiting Bitcoin.