Bitcoin held above $85,000 on Tuesday as the Nasdaq Composite climbed to a fresh record high, with enthusiasm around artificial intelligence continuing to power markets. Meta and AMD led Wall Street's advance, oil slipped below $100 a barrel, and Binance announced a $100 million investment in stablecoin issuer Circle.

Bitcoin Surges Past $85,000

Bitcoin traded near $85,600 on Tuesday after gaining roughly 5% in 24 hours, having briefly touched $87,000 earlier in the week. The rally triggered more than $1 billion in liquidations of leveraged crypto positions, with about $844 million of that total coming from traders who had bet prices would fall. Bitcoin alone accounted for roughly $608 million of the liquidations.

Liquidations occur when exchanges forcibly close leveraged positions once losses deplete a trader's collateral, and concentrated short-side liquidations can mechanically amplify upward moves. Traders are now watching to see whether new buying pressure can push prices toward the next key levels. With the short squeeze appearing largely complete, the market's next move is expected to depend on fresh demand entering the market.

Nasdaq Extends Tech-Led Rally to a Fresh Record

The Nasdaq Composite set a new intraday record on Tuesday, extending a technology-led rally that began earlier in the week. The index had already closed at a record on Monday, and Alphabet's gain of around 2% helped lift the broader technology sector.

Falling oil prices and lower Treasury yields have added further support. Both reduce inflation pressure and make borrowing cheaper, conditions that tend to favor growth stocks. Bitcoin's advance alongside the record-setting index underscores the shared risk appetite currently driving both crypto and equity markets.

Meta's Muse AI Assistant Powers a $200 Billion Rally

Meta has become one of the biggest stories on Wall Street since launching its Muse AI assistant on September 8. Shares (stock quote) jumped more than 11% on Monday and have risen over 20% since the launch, adding more than $200 billion to the company's market value.

Muse drew around 2.8 million downloads in the U.S. and Canada during its first 12 days. The AI agent can send emails, book travel, and complete transactions, and investors view it as a potential new revenue stream for Meta beyond its core advertising business. Attention now turns to whether that early adoption can translate into revenue in the quarters ahead.

AMD Joins the Trillion-Dollar Club

AMD crossed a $1 trillion market valuation after its shares surged 9.6% to a record high on Monday. The company now sits in the same valuation tier as other major semiconductor firms, and its stock has climbed roughly 185% in 2026.

Investors increasingly view AMD as a serious competitor in AI computing infrastructure rather than a traditional chip company, and the milestone highlights how investor enthusiasm around AI has lifted the companies supplying the underlying computing power.

Binance Puts $100 Million Into Circle

Binance invested $100 million in Circle, the issuer of the USDC stablecoin, in one of the biggest corporate crypto deals of the week. Circle shares rose following the announcement.

Stablecoins like USDC are digital tokens pegged to the U.S. dollar and are widely used across crypto trading and payments. The deal deepens ties between the world's largest crypto exchange and a major stablecoin provider. It also reflects growing competition among exchanges, institutions, and payment companies for a larger share of the digital-dollar market.

Oil Below $100 Adds to Market Tailwinds

Oil falling below $100 a barrel added to the mood across global markets. Brent crude slipped below the $100 mark, while U.S. crude traded near $95, helped by signs that Middle Eastern supply could improve.

With Bitcoin rising, the Nasdaq at record highs, and AI stocks surging, risk appetite is back. The question now is whether markets can hold these levels into the end of the week.