We are accustomed to thinking that structural shifts—whether the explosive growth of AI infrastructure or the institutional adoption of bitcoin—create assets immune to corrections. However, practice shows the opposite: valuation cyclicity remains a fundamental law of the market, and even the strongest trends do not eliminate periodic declines.
Demand from giants such as Amazon, Google, and SpaceX for artificial intelligence chips indeed looks like a long-term driver. But let's look at the facts. Micron Technology surged 700% in a year, Sandisk more than 4000%, and SK Hynix raised $26.5 billion through a U.S. listing. However, after such dizzying jumps, the stocks predictably pulled back. This is not a coincidence but a classic "overheating" model: when expectations outpace actual monetization, the market inevitably corrects excessive optimism.
A similar story is observed in the crypto sphere. Strategy (formerly MicroStrategy), as the largest corporate holder of bitcoin, lost about 80% of its value after its peak. Its premium to the value of bitcoin reserves shrank almost to the NAV level. This clearly demonstrates that even direct exposure to a growing asset does not protect against overvaluation by shareholders.
Equally telling is the example of precious metals. Silver, after a confident rise in January 2026, collapsed by nearly 50%. Demand for physical assets, backed by industrial use, could not prevent a sharp correction in price.
My conclusion as an analyst: Investors often confuse a long-term trend with a guarantee of constant growth. The AI chip boom, demand for bitcoin, or precious metals are powerful fundamental stories, but they do not negate market psychology. Every upward trend generates excessive euphoria, followed by inevitable sobering. The key skill now is not just to catch the wave, but to exit overheated positions in time.