Why Sandisk and Western Digital crashed 10% and what it means for bitcoin

MarketsWhy Sandisk and Western Digital crashed 10% and what it means for bitcoinStrong earnings from SanDisk and Western Digital were not enough to satisfy investors, raising questions about whether capital is beginning to rotate from AI winners into crypto.By James Van Straten|Edited by Jamie Crawley Aug 6, 2026, 11:14 a.m. 2 min readMake preferred on ShareShare this articleCopy linkX iconX (Twitter)LinkedInFacebookEmailMake preferred on SummaryShowSandisk and Western Digital fell roughly 10% in pre-market trading as their forward outlooks failed to match elevated expectations.Sandisk and Western Digital have gained more than 3,000% and 550%, respectively, over the past 12 months, propelled by the AI boom and leaving assets such as crypto and precious metals in the rearview mirror.Now with AI momentum cooling, gold surging and bitcoin holding above $64,000, crypto may be preparing for a resurgence.Sandisk (SNDK) and Western Digital (WDC), two of the biggest beneficiaries of the AI storage boom, were both 10% lower in pre-market trading Thursday, despite reporting strong quarterly results.Sandisk posted record fourth-quarter revenue of $8.97 billion and non-GAAP EPS of $39.25, comfortably beating expectations. Western Digital also delivered a double beat, reporting revenue of $3.75 billion, up 44% year over year, while its gross margin surged to 54.4%. Despite those results, both stocks are now trading roughly 50% below their all-time highs.The problem was guidance. Sandisk’s first-quarter outlook came in below expectations, with projected revenue of $10.7 billion versus the $11.2 billion analysts had estimated. Its EPS guidance also fell short. Western Digital’s first-quarter outlook was solid, but after a 500% run, investors were looking for another blowout beat.Sandisk and Western Digital have gained more than 3,000% and 550%, respectively, over the past 12 months, propelled by the AI boom and leaving assets such as crypto and precious metals in the rearview m…

Why Sandisk and Western Digital crashed 10% and what it means for bitcoin

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