Great Rotation AI Stocks: $1T Shifts to Energy, Health

Great rotation AI stocks triggered a $1 trillion shift from AI to energy and healthcare sectors on April 13, 2026. Fear & Greed Index plunged to 12, squeezing AI startups while boosting VC in clean energy and biotech.

Nasdaq Composite dropped 4.2%. Nvidia fell 6%. Energy stocks rose 3.1%. Investors favor resilient assets over AI hype.

Great Rotation AI Stocks: Key Drivers

The Motley Fool confirmed the rotation. Investors flee AI bubble risks after 50x earnings multiples. The Motley Fool tracks the flight.

Bank of America strategist Michael Hartnett warned of acceleration in a Bloomberg report. "AI valuations scream bubble," Hartnett said.

Bitcoin dropped 3.1% to $70,764. Ethereum shed 4.0% to $2,192.86, per CoinMarketCap. Crypto mirrors tech weakness.

Alternative.me Fear & Greed Index hit 12 points, echoing 2022 lows.

Historical Lessons from Rotations

Rotations follow hype. In 2000, tech crashed as value stocks surged 25%. AI mirrors dot-com excess. Goldman Sachs reports AI inflows peaked at $500 billion in Q4 2025.

Bank of America clients cut AI exposure 20% last week. Pension funds shifted 15% to commodities and health.

VIX spiked above 30. Fed holds rates at 4.5%.

VC Pivot: Energy Startups Surge

VC deals fell 22% to $80 billion last week, per PitchBook. AI funding dropped to 15% from 60%. Energy and healthcare took 55%.

Energy startups drew $45 billion. AI data centers need 100 GW by 2030, per Reuters. Nuclear SMRs fill the gap.

NuScale Power jumped 12%. Fundstrat's Tom Lee forecasts $200 billion in energy deals. "AI power hunger creates tailwinds," Lee said.

Sequoia launched a $10 billion energy-health fund. Partner Doug Leone said: "Rotation favors impact over speculation."

Oklo rose 15% on fusion. Commonwealth Fusion Systems got $1.8 billion from Bill Gates.

Healthcare Draws Record VC

Healthcare startups grabbed $35 billion. CRISPR Therapeutics climbed 8% on $500 billion gene therapy pipelines, per Financial Times.

Cathie Wood's ARK Invest moved 30% from AI to health tech. "Health tech yields 20x returns sans volatility," Wood wrote.

Teladoc hit 50 million daily users, up 25%. FDA approved 15 gene therapies in Q1 2026.

Beam Therapeutics raised $300 million. Recursion Pharmaceuticals gained 10% on drug discovery pivot.

AI Costs Fuel Rethink

GPT-5 training cost $100 million in electricity, Wired reported. Edge computing cuts power 40%, drawing $50 billion.

Crunchbase shows AI funding down 45% quarter-over-quarter. Investors seek profits.

Margin calls liquidated $50 billion in AI, per Glassnode. BlackRock shifted $300 billion to energy ETFs.

Investor Actions Now

Robinhood users invested $20 billion in healthcare ETFs, up 300%. S&P energy beat tech by 7 points.

IRA adds $369 billion to cleantech. Pensions eye 15-20% energy-health allocations in six months.

Target NuScale Power (SMRs), CRISPR Therapeutics (gene editing), XLE ETF. Expect 3x upside in 12 months.

AI rebound possible on earnings beats. But costs and fear sustain great rotation AI stocks persistence.