Crypto Carnage: Coinbase Plunges 6% Amid Market-Wide Digital Asset Rout

Bloodbath hits digital asset markets as major exchange Coinbase tanks alongside broader crypto collapse.

Exchange stocks get hammered as traders flee risk assets—because nothing says 'store of value' like a 6% single-day nosedive.

Panic selling grips cryptocurrency sector as institutional and retail investors dump positions simultaneously.

Market contagion spreads from altcoins to exchange operators—proving once again that in crypto, the house always wins, even when it's losing.

Taking the decision hard

The company doing the investing was, and its target was not AMD but the U.S. company's longtime rival.

Image source: Getty Images.

After market close Monday, SoftBank announced that they had signed an agreement with Intel to invest $2 billion in the latter's common stock. That shakes out to $23 per each of the chip maker's shares, so it was hardly surprising that Intel vaulted past that level with a nearly 7% rise.

At a stroke, the deal makes SoftBank an important institutional investor in Intel (it'll be the fifth-largest investor overall). All told, it will hold around 2% of the American company.

For better and for worse, chip makers in this country have been flagged as businesses that could help widen the U.S. manufacturing base. This is a key goal of the TRUMP administration and a leading reason for its recent efforts to levy tariffs on the top trading partners of this country.

Knee-jerk reaction

Intel had been struggling more than AMD recently, so in many ways it's a more appropriate recipient of a chunky investment. That said, $2 billion is a large amount of capital for a company of any size, so that "shunned fiancé" feeling is completely understandable. It doesn't, however, change the outlook much for AMD, so perhaps the Tuesday slump will provide a good buying opportunity in the stock.