Regular swings of +/-0.5 trillion in market value for an entity that is a material fraction of the entire market are not normal, in either mathematical or colloquial sense. The question is, what do they really reveal about the condition (risk appetite) of markets.

> too many investors have been bidding up prices of firms related to AI without properly knowing the details of how it functions or is able to succeed

There is no investment without risk. The question is why are there so many investors that appear to be grossly insensitive to gargantuan levels of risk. And the answer is probably: its all funny money to them. We live in the era of 100K bitcoin after all.