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Michael Burry warns Nasdaq and Bitcoin may face a major correction like the dot-com bubble burst.

Market News
18 May 2026
24/7 Wall Street
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Neutral
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Michael Burry, known for predicting the 2008 crash, warns the current AI-driven Nasdaq rally resembles the dot-com bubble, signaling a potential 40-50% drop in tech stocks. Bitcoin's price is now closely tied to tech stocks due to institutional investments, losing its hedge status and increasing downside risk. However, the U.S. Senate's Digital Asset Market CLARITY Act could redefine Bitcoin as a digital commodity, potentially shielding it from tech market corrections. Retail investors should focus on long-term horizons, keep cash for short-term needs, and watch key signals like the CLARITY Act's progress, Bitcoin ETF flows, and Bitcoin's reaction to Nasdaq sell-offs.

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