S&P 500 Roars Back: NVDA Soars 6%—What’s Next for Crypto?
S&P 500 wipes out 2025 losses as NVDA jumps 6%, but will crypto follow the tech rally?
The S&P 500 is back in the green. On May 13, 2025, the index erased its 2025 losses, climbing 0.7% to close at 586.84 USD, driven by a tech rally led by Nvidia (NVDA), which surged 6% to 129.93 USD, crossing a $3 trillion market cap. Tesla and Meta also gained 5% and 3%, while Coinbase soared 18% after joining the S&P 500, as reported by Yahoo Finance. But what does this mean for crypto?
Why the rally? The US-China trade truce, with tariffs slashed for 90 days, eased global tensions, boosting tech stocks. Nvidia’s AI chip prospects fueled its rise, while Coinbase’s S&P 500 inclusion marked a win for crypto’s mainstream adoption. Bitcoin, however, stayed flat at $100,771 after a $2K dip on May 12, showing crypto’s mixed response to equity gains. Posts on X reflect optimism about the S&P 500’s recovery, though some worry about overvaluation—its P/E ratio hit 22, and Nvidia’s is at 68.
What’s the catch? For beginners, this rally signals opportunity but also risk. The S&P 500’s surge (up 8.5% since April 14) contrasts with Bitcoin’s recent stagnation, suggesting crypto isn’t fully riding the equity wave. CryptoQuant’s CEO warned of $5B in “dark stablecoins,” which could spark volatility. Plus, the Dow’s 250-point dip on May 13 due to Trump’s drug price order shows markets remain shaky. If trade talks falter, as warned by US officials, both equities and crypto could face turbulence.
What should you do? Diversify and stay cautious. Tech stocks like NVDA might keep climbing, but crypto’s path is less clear—research thoroughly and only invest what you can afford to lose. Watch for macro shifts, like the US-China deal’s outcome.
Will crypto catch up? Share your thoughts below and follow trafy.io for more updates!
NOTICE:
The information provided on trafy.io does not constitute investment advice or recommendations. All investment and trading activities involve risks, and readers are advised to conduct their own research before making decisions.
NOTICE:
The information provided on trafy.io does not constitute investment advice or recommendations. All investment and trading activities involve risks, and readers are advised to conduct their own research before making decisions.
