Is A Massive AI Melt-Up Coming?
Photo by Steve Johnson on Unsplash
Since President Trump announced a new round of tariffs last Wednesday, the stock market has been on a wild ride.
On Friday, the S&P 500 posted one of its worst two-day drops ever.
It ended the stretch down 10.5%.
Then yesterday saw one of the wildest swings in stock market history.
And despite today’s apparent rally…
U.S. investors are feeling nearly as pessimistic as they did during the lows of the Biden presidency.
It’s easy to see why.
For the past two years, the so-called “Magnificent Seven” stocks have largely driven overall market gains.
But these stocks have mostly gotten hammered in 2025.
In fact, the Magnificent Seven have lost more than $6 trillion in value since their highest point in late 2024.
I’ve even seen some people predicting that this is the end of the AI boom.
That’s why I’m going live tomorrow at 1 p.m. for an urgent market briefing.
Because I want to help you navigate what’s coming.
As you know, I believe we’re entering the final race to ASI or artificial superintelligence.
And by the end of this month, things will get very chaotic in the AI space.
I predict we’re going to see tremendous disruptions in the market.
Some stocks will continue to crash…
And that’s the bad news.
But I also have good news.
I believe other stocks will rebound and soar to unbelievable highs.
Unfortunately, most people will miss out this coming boom and will be stuck with the AI losers.
I don’t want you to be one of them.
WHY I BELIEVE YOU SHOULD ACT NOW
What makes me so confident that this is going to happen? Especially with the stock market in a seeming free-fall?
Everyone knows we had a massive melt up in internet stocks in the late 1990s.
But few people remember that the Nasdaq actually dropped almost 30% in late 1998.
If I had told you back then that a melt-up was about to follow that correction, you’d probably have called me crazy.
But as you can see here, it set the stage for the last phase of that bull market, where internet stocks went parabolic.
I believe this recent correction and all the volatility over the past month is setting the stage of the last phase of this current bull market.
And that’s where the biggest gains could happen.
This could really be the last window of opportunity to profit from this AI boom.
Unfortunately, I predict most people will walk away from this melt-up empty handed.
Because the thing about these melt-ups is that they’re very rare.
When they happen, the moves are so fast that the valuation of stocks gets really out of whack…
And for that reason, those melt-ups usually end in a big and violent correction that catches most people by surprise and wipes out most of the gains from the boom.
A good example is what happened with internet stocks in the late 1990s and the panic that followed.
This coming melt-up could play out exactly like that.
More By This Author:
Google Just Shot Past China In The AI RaceIs China’s BYD Coming For Tesla?
Could Robotaxis Save Elon’s Tesla?