A sharp selloff in U.S. technology stocks and rising equity-market volatility are adding to downside pressure on Bitcoin, according to one analysis.

On Nov. 6, on-chain analyst Axel Adler Jr. wrote in a newsletter that renewed selling in U.S. tech shares was behind Bitcoin’s slide back toward $75,000 after it had recently regained $80,000.

The Nasdaq 100 Index recently fell as much as 6.36% intraday to 26,630. The S&P 500 information technology sector dropped 7.3%, while the Philadelphia Semiconductor Index slid 12%. Losses were especially steep among companies whose earnings are closely tied to expanded investment in artificial intelligence infrastructure.

Adler said concerns that regulations on data-center construction could tighten after the U.S. election weighed on sentiment toward AI-related stocks. He added that the election result alone has not actually halted data-center projects.

The VIX, a gauge of market volatility, jumped to 28.2 from 16.6 in a single day, an increase of about 70%. A spike in volatility can force some funds to cut holdings to stay within risk limits, Adler wrote. In that process, risk assets such as Bitcoin can also be sold.

“A stable Nasdaq and a lower VIX could signal that external pressure on Bitcoin is easing,” Adler wrote. “As long as the stock-market selloff continues, the risk of additional position reduction remains in the digital-asset market.”