By BitVision.ai | November 2025
Michael Burry — the legendary investor who foresaw the 2008 housing market collapse — is once again sounding the alarm. In his latest 13F filing, Burry’s Scion Asset Management disclosed put options against Nvidia (NVDA) and Palantir Technologies (PLTR), signaling bearish bets on two of the market’s most overextended tech darlings.
AI Euphoria Meets Its First Skeptic
For the past year, Nvidia and Palantir have embodied the AI-driven equity boom. Nvidia’s market cap surged past $3 trillion as investors piled into semiconductor plays, fueling artificial intelligence infrastructure. At the same time, Palantir rebranded itself as a “platform for AI-driven defense and intelligence,” promising exponential growth.
However, even strong earnings could not shield Palantir from the gravity of the market. Despite raising its full-year guidance to $4.4 billion and beating Q3 revenue estimates, the stock plunged as much as 7% on Tuesday. The market’s verdict was clear: valuation fatigue has arrived.
Political Pressure on Nvidia
Nvidia, meanwhile, finds itself at the intersection of technology and geopolitics. During a CBS News interview, President Donald Trump declared that the U.S. would restrict the sale of top-tier Nvidia chips to China, citing national security concerns. The announcement triggered a 2% intraday drop in Nvidia’s share price, which later partially recovered — but the message resonated: the AI supply chain is no longer purely a business story; it’s a national strategy.
Wall Street’s Quiet Retreat
Burry’s move aligns with a cautious tone emerging from institutional leaders. Goldman Sachs CEO David Solomon and Morgan Stanley CEO James Gorman, not Ted Pick, have both warned that hyperinflated tech valuations are due for a correction. “When everyone believes growth is infinite,” Solomon recently noted, “that’s when discipline disappears.”
With earnings season peaking and monetary policy still restrictive, investors are questioning whether the AI rally has run ahead of fundamentals. Burry’s puts may not just be a hedge — they could be a prelude to a broader market reset.
The BitVision Take
Market euphoria often masks structural cracks, including tightening liquidity, slowing enterprise AI adoption, and over-reliance on retail inflows. Nvidia and Palantir represent both the promise and peril of this era — visionary companies trading at valuations that assume perpetual perfection.
If history rhymes, Burry’s contrarian stance could again prove prophetic. His bet isn’t merely against two tickers — it’s against collective complacency.