Has the tech bubble burst? Why the Nasdaq’s rough ride looks eerily like 2000.

The comparison to 2000 rests on familiar patterns: a narrow group of technology names carrying index returns, stretched valuations, and a sharp single-day selloff that prompts investors to reassess how much optimism is already priced in. Friday's plunge does not by itself confirm a bubble bursting, but it does show how quickly sentiment can shift when positioning is crowded.

What matters is context. The dot-com peak was followed by a prolonged earnings collapse across much of the sector. Today's largest technology companies generally have substantial profits, which changes the starting point, though it does not eliminate valuation risk. A single session rarely defines a cycle; sustained declines, widening credit spreads, and weaker forward earnings guidance would be more meaningful signals to watch.

For observers, the key question is whether this is a valuation reset within an ongoing uptrend or the start of a broader de-risking. Breadth is worth monitoring: if losses remain concentrated in high-multiple names while the wider market holds, the episode may prove contained. If selling spreads across sectors and defensive assets rally, that would suggest investors are repricing risk more broadly rather than reacting to one difficult day.