It has nothing to do with kinetic energy but with the question whether the Hamiltonian is bounded from below or not. Only if the matrix ##k_{ik}## is positive (semi-)definite that's the case.
Now make the ansatz
$$\vec{x}(t)=\vec{x}_0 \exp(-\mathrm{i} \omega t).$$
The EoM reads
$$\ddot{\vec{x}}=-\hat{K} \vec{x},$$
where ##\hat{K}=(k_{ij}/m)##. Plugging in the ansatz leads to
$$\hat{K} \vec{x}_0 = \omega^2 \vec{x}_0,$$
i.e., ##\vec{x}_0## must be an eigenvector of ##\hat{K}## with eigenvalue ##\omega^2##. Any symmetric matrix, which we have here since we can always choose ##k_{ik}=k_{ki}## (or ##\hat{K}^{\text{T}} =\hat{K}##), can be diagonalized with an orthogonal transformation. If we choose the appropriate basis we thus have
$$\hat{K}'=\hat{O} \hat{K} \hat{O}^{\text{T}}=\mathrm{diag}(\omega_1^2,\ldots,\omega_d^2),$$
where ##d## is the dimension of the system.
Now it's clear that for any vector
$$\vec{x}^{\text{T}} \hat{K} \vec{x}^{\text{T}}=\vec{x}^{\text{T}} \hat{O}^{\text{T}} \hat{K}' \hat{O} \vec{x} \geq 0$$
if and only if ##\omega_j^2 \geq 0##. If all ##\omega_j^2 >0##, all motions are bounded oscillations. If one or more eigenvalues are 0 you have directions, given by the eigenvectors, where the particle is unbound and can move as a free particle though the Hamiltonian is still bounded from below.
If one or more eigenvalues are negative, the motion in these directions can be unbound and the particle is accelerated exponentially with time.
In any case the total energy is conserved since the Hamiltonian is not explicitly time-dependent.
If you consider the harmonic (or pseudoharmonic if there are negative eigenvalues) potential as approximation of some other more complicated potential the approximation is only good for the bound oscillatory motion, for which the particle always stays near the equilibrium value, and that's only the case if the potential has a true minimum, and that's where the Hesse matrix of the potential ##\hat{K}## is positive definite.