Fidelity International calls AI the 'defining theme' for 2026 equity markets. BlackRock says tech 'keeps trumping tariffs' as a driver of index performance. Narrow sector leadership (mega-cap AI players) concentrates gains but creates upside potential for risk assets broadly.
Bitcoin and Ethereum historically outperform during equity bull phases when investors increase risk appetite. An equity surge to new highs would likely shift capital allocation toward crypto after a grinding bear market.
Fed rate cuts expected in late 2026 would lower borrowing costs and support valuations. Lower rates also reduce the opportunity cost of holding non-yielding assets like Bitcoin, creating structural tailwinds.
Old-economy mega-cap Nike trades near 12-year lows, down 39% in 2026. The divergence—AI and energy leading, consumer discretionary lagging—suggests the rally is structural, not a broad 'everything' bull market.
If equities extend, Bitcoin could challenge $75K–$80K resistance before re-testing old highs. Watch for break-of-correlation: when macro data improves and equities hold gains, crypto momentum historically accelerates.
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