Asian Chip Selloff Drags Crypto Market Lower, Ether Falls Twice as Hard as Bitcoin

A selloff in Asian semiconductor shares dragged major cryptocurrencies lower on Friday. Ether (ETH) fell harder than Bitcoin, dropping 4% to $1,850. The only major still green on the week, it remains up 4% over seven sessions.

Hyperliquid's HYPE token was hit particularly hard, down 10% on the day and 12% on the week, its steepest stretch since June. Solana slid 2% to $75 and is off 5% for the week.

The selling started in semiconductors, with Taiwan Semiconductor on track for its biggest one-day decline since April 2025. Japan's Kioxia sank as much as 16%. Investors are questioning whether this year's AI rally moved too far too fast.

US spot ether ETFs took in nearly $97 million over the first three days of this week, but that bid did not stop ether from falling harder than bitcoin when the chip trade turned. Wintermute's OTC desk described the week as 'consolidation under resistance rather than continuation', noting that spot volumes fell rather than rose into the highs.