What if Concentration unwind turns narrow leadership into narrow crash?
The same passive flows that lifted the top names reverse, and because the index is concentrated, the drawdown is violent and idiosyncratic. VIX spikes as the few crowded leaders collapse together.
how we built this number — every step
The class rate is measured from our dated, sourced event library (decade-normalized Poisson — the full table is public at base_rates.json). The variant’s share within its class is the analyst’s editorial call, published so you can audit it. A wider range means thinner precedent. Full recipe: methodology · scored at Reality Check.
The butterfly cascade
How this trigger trickles across markets, left → right — the root shock, its first‑order moves, then the ripple effects. Drag any node; tap a market for its real price history.
Resolution timeline — how this probability is moving
Our model's odds (gold) over time vs the crowd's (Polymarket, blue), from the past toward the 6–18 months horizon. Each dot is a real macro event that nudged the probability — green pushed it up, red pushed it down. Tap a dot for the source. The gold path is an illustrative reconstruction anchored to today's estimate — real dated events, not a live re-estimate history.
What it would mean
If this plays out, it is a risk-off shock. The same passive flows that lifted the top names reverse, and because the index is concentrated, the drawdown is violent and idiosyncratic. VIX spikes as the few crowded leaders collapse together. The trigger decomposes into signed root‑shocks — Volatility (VIX) ▲ · AI capex ▼ · Risk appetite ▼ · Risk-parity deleveraging ▲ — which propagate through our causal graph to the markets below.
If it happens — the markets it would move
Biggest moves first. Projected moves are cascade-model priors; hist A–B% = what comparable past events actually did (measured abnormal returns), and model prior · unmeasured marks markets with no analogue backing yet. Tap any market for its price history.
| Market | Class | Projected move | |
|---|---|---|---|
| 1 | Nasdaq 100 NDXon Hyperliquid 📈 chart | Index | ▼ -1.3% hist -0.81–-0.43% · other way +0.03% (n=12) |
| 2 | Volatility (VIX) VIXon Hyperliquid 📈 chart | Vol | ▲ +1.1% hist -1.53–+1.53% · other way -2.93% (n=12) |
| 3 | Nvidia NVDAon Hyperliquid 📈 chart | Equity | ▼ -1.1% hist -0.83–-0.22% · other way +4.19% (n=12) |
| 4 | Solana SOLon Hyperliquid 📈 chart | Crypto | ▼ -1.1% hist -9.87–+0.97% · other way -17.09% (n=11) |
| 5 | MicroStrategy MSTRon Hyperliquid 📈 chart | Equity | ▼ -1.0% hist -1.37–+1.27% · other way +10.05% (n=12) |
| 6 | Semiconductors SMHon Hyperliquid 📈 chart | Equity | ▼ -0.8% hist -0.56–-0.03% · other way +1.37% (n=12) |
| 7 | Broadcom AVGOon Hyperliquid 📈 chart | Equity | ▼ -0.8% hist -1.27–+2.5% · other way +5.73% (n=12) |
| 8 | Hyperliquid (HYPE) HYPEon Hyperliquid | Crypto | ▼ -0.8% model prior · unmeasured |
| 9 | Tech sector XLK 📈 chart | Equity | ▼ -0.8% hist -0.61–-0.15% · other way +0.4% (n=12) |
| 10 | Micron MUon Hyperliquid 📈 chart | Equity | ▼ -0.8% hist -3.32–+0.6% · other way -1.63% (n=12) |
| 11 | Ether ETHon Hyperliquid 📈 chart | Crypto | ▼ -0.7% hist -8.2–+1.59% · other way +0.11% (n=11) |
| 12 | S&P 500 SPXon Hyperliquid 📈 chart | Index | ▼ -0.7% hist -1.37–+0.24% · other way +1.24% (n=12) |
| 13 | Bitcoin BTCon Hyperliquid 📈 chart | Crypto | ▼ -0.6% hist -0.7–-0.04% · other way +3.62% (n=12) |
| 14 | AMD AMDon Hyperliquid 📈 chart | Equity | ▼ -0.5% hist -0.27–-0.15% · other way -3.31% (n=12) |
Probable recommendation
Historical precedent — what analogous events actually did
Across 40 analogous events (overlap‑weighted), as abnormal returns — market beta stripped, so it's the event's own effect, not the market backdrop. Shown at 20 days (persistent) and 5 days (immediate); ↺ fades = the two horizons disagree. Confidence = consistency × sample × significance.
| Asset | History says | Abnormal (20d · 5d) | Hit | n | Confidence | vs cascade |
|---|---|---|---|---|---|---|
| SOL SOL | SHORT | -7.7% · 5d -6.0% | 77% | 28 | 0.37 | ✓ matches cascade |
| ETH ETH | SHORT | -6.8% · 5d -5.5% | 69% | 33 | 0.29 | ✓ matches cascade |
| Gold XAU | LONG | +1.9% · 5d +0.0% | 66% | 40 | 0.27 | · |
| MU MU | SHORT | -2.6% · 5d -1.2% | 66% | 40 | 0.24 | ✓ matches cascade |
| INTC INTC | SHORT | -2.8% · 5d -2.2% | 61% | 40 | 0.20 | ✓ matches cascade |
| QCOM QCOM | SHORT | -3.1% · 5d -1.8% | 62% | 40 | 0.18 | ✓ matches cascade |
| NVDA NVDA | SHORT | -0.3% · 5d -1.6% | 62% | 40 | 0.17 | ✓ matches cascade |
| AVGO AVGO | LONG | +2.7% · 5d -1.0% ↺ fades | 60% | 38 | 0.17 | ⚠ differs |
| AMD AMD | SHORT | -0.0% · 5d -1.1% | 57% | 40 | 0.11 | ✓ matches cascade |
| SMH SMH | LONG | +0.3% · 5d -0.0% ↺ fades | 54% | 40 | 0.07 | ⚠ differs |
| MRVL MRVL | LONG | +1.1% · 5d -0.1% ↺ fades | 54% | 40 | 0.07 | ⚠ differs |
| High-yield credit HYG | LONG | +0.2% · 5d -0.1% ↺ fades | 54% | 39 | 0.07 | ⚠ differs |
| US dollar DXY | SHORT | -0.0% · 5d +0.2% ↺ fades | 54% | 40 | 0.06 | · |
| Volatility VIX | SHORT | -2.2% · 5d +4.4% ↺ fades | 51% | 40 | 0.01 | ⚠ differs |