# Bank of America survey shows AI stock rally in boom phase, not euphoria > Source: > Published: 2026-06-16 09:43:36+00:00 # Bank of America survey shows AI stock rally in boom phase, not euphoria Fund managers say FOMO is still driving the AI trade, but rising cash levels and overvaluation fears suggest the party might be closer to last call than investors want to admit. Most investors think the AI-fueled stock rally still has room to run. They also think it’s getting uncomfortably expensive. Those two beliefs are coexisting in the same brain, and that tension is the defining feature of Bank of America’s latest fund manager survey. The majority of respondents indicated that fear of missing out continues to drive participation in the AI trade, placing the current rally firmly in “boom” territory rather than full-blown euphoria. ## The numbers behind the nerves In October 2025, 54% of respondents said tech stocks were overvalued, a tick higher than the roughly 50% who held that view the prior month. AI was identified as the leading tail risk for markets. Not geopolitics, not inflation, not interest rates. AI. By March 2026, the mood had cooled further. BofA’s broad sentiment measure dropped to a six-month low, and cash levels rose as what the bank described as the “frothy bull” environment started losing its fizz. Even as apprehension grew, money kept flowing into AI-linked positions. Goldman Sachs observed that the fear of missing out has outweighed poor near-term returns for hyperscalers. Data-center debt issuance doubled to $182 billion in 2025, a figure that captures just how aggressively the infrastructure buildout is being financed regardless of valuation concerns. ## Dot-com echoes and mega-IPO risk A May 2026 Bank of America note projected that potential mega-IPOs, specifically naming OpenAI and Anthropic as candidates, could push AI-related market concentration to 47-48%. That level of concentration would rival or exceed what markets experienced during the dot-com bubble, when a handful of internet stocks accounted for an outsized share of total market capitalization. Multiple BofA polls conducted between 2025 and 2026 have consistently ranked AI as the primary market concern, with overinvestment fears tied to AI capital expenditure reaching multi-decade highs. ## What this means for crypto investors Bank of America’s surveys don’t reference digital assets directly. AI-themed tokens have been among the biggest beneficiaries of correlated market sentiment. Projects like TAO, FET, and RENDER have ridden the same narrative wave that lifted Nvidia and Microsoft, albeit with significantly more volatility. The 47-48% market concentration scenario is particularly worth watching. If mega-IPOs from OpenAI or Anthropic absorb institutional capital that might otherwise rotate into higher-risk assets, crypto could feel the liquidity squeeze. Conversely, if those IPOs generate enthusiasm that spills over into the broader AI narrative, token prices could benefit from the rising tide. Fund managers are betting that the current moment resembles 1997, not 1999. History suggests the difference between those two years was obvious only in retrospect. **Disclosure:** This article was edited by Editorial Team. For more information on how we create and review content, see our [Editorial Policy](https://cryptobriefing.com/editorial-policy/).