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Ethereum News Update: Major investors redirect funds toward AI infrastructure as they reduce holdings in Nvidia

Ethereum News Update: Major investors redirect funds toward AI infrastructure as they reduce holdings in Nvidia

Bitget-RWA2025/11/15 04:44
By:Bitget-RWA

- Bridgewater cut 65.3% of its Nvidia stake in Q3 2025, reflecting institutional caution amid macroeconomic risks and AI-driven capital reallocations. - SoftBank fully exited its $5.8B Nvidia position to fund new AI ventures, while Bridgewater boosted holdings in AI chip manufacturing firms AMAT and LRCX . - Ethereum institutions increased 34% ETH holdings despite price declines, signaling blockchain's growing role in AI infrastructure alongside traditional tech stocks. - Analysts remain bullish on Nvidia'

Bridgewater Associates, recognized as the largest hedge fund globally,

in by 65.3% during the third quarter of 2025, as revealed in its most recent 13F disclosure. This adjustment, which saw its shares drop from 7.23 million to 2.51 million, highlights increasing macroeconomic caution among major investors as worldwide markets adjust capital flows toward artificial intelligence (AI) infrastructure . This downsizing occurs alongside broader portfolio shifts by leading institutions, of its shares in October 2025, which generated $5.8 billion to support new AI projects.

Despite these major institutional sell-offs, Nvidia's stock has shown strength, ending at $199.05 on November 10, 2025,

. The chip industry leader at $46.74 billion, with a profit margin of 52.41%, fueled by soaring interest in its AI accelerator products. , with 64 "strong buy" recommendations and an average price estimate of $230.78, reflecting faith in Nvidia's leadership in AI computing. Still, of -1.1% to $196.05 on November 11, underscored how sensitive investors are to large-scale share liquidations.

The asset sales by Bridgewater and SoftBank

of capital rotation within the AI sector. , announced in October, was directly linked to financing new AI-related endeavors. This mirrors a broader trend where institutional investors are adjusting their holdings to focus on rapidly expanding AI infrastructure rather than legacy tech equities .
Ethereum News Update: Major investors redirect funds toward AI infrastructure as they reduce holdings in Nvidia image 0
For example, Bridgewater in Applied Materials (AMAT) and Lam Research (LRCX), indicating a pivot toward companies that manufacture semiconductor equipment and are set to benefit from increased demand for AI chips.

Nvidia continues to dominate the AI industry,

over the last year, significantly outperforming the S&P 500. The Alger Spectra Fund, managed by Fred Alger Management, in its Q3 investor update, highlighting a 10.56% return in one month and strong earnings momentum. However, that the current trailing P/E of 56.71 and forward P/E of 30.30 suggest high expectations, which could expose the stock to short-term price swings.

The relationship between traditional tech equities and AI-oriented cryptocurrencies has also drawn notice. BitMine Immersion Technologies, the largest

holding company, in the last week, expanding its portfolio by 34% even as prices dropped 13.4% over two weeks. , now at levels not seen since May 2025, points to rising institutional trust in blockchain's significance for AI infrastructure. , which have surpassed $200 billion, further emphasize its role as a core platform for AI-powered financial solutions.

As the AI transformation gains momentum, investors are carefully considering the future prospects of AI-centric stocks against the backdrop of potential overvaluation. While Bridgewater's decision to scale back its Nvidia position signals prudence, the overall sentiment toward AI's disruptive potential remains positive.

scheduled for November 19, 2025, and , the next few weeks will be a crucial test for both AI equities and cryptocurrencies as financial markets become ever more interconnected.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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