Today, many AI tokens have experienced significant price increases after the META stock rose 16% in pre-market trading on Nasdaq, driven by better-than-expected quarterly results for investors.
Meta, which has heavily invested in the metaverse throughout 2022, is now shifting towards the trend of artificial intelligence, trying to develop new products and services related to the AI world.
The rise of the US technology stock may have triggered the pump of AI cryptographic tokens precisely because of this connection.
All the details below.
The latest performance of AI tokens in the crypto market
Today, following the growth of the META token, AI tokens have experienced significant price increases, making an already hot trend even hotter.
Specifically, we can see how the “Computing Select Index” (CPUS) offered by Coindesk has recorded a 9.90% increase in the last 24 hours, printing new all-time highs on the chart.
Compared to January 2023, CPUS has grown by almost 200% against the dollar, as evidence that computing in the field of oracles, shared storage, private computing, and shared networks is attracting a lot of capital from outside.
Moving away from the index and focusing on another category of cryptographic tokens, let’s see how the coins within the “Top AI & Big Data” group on CoinMarketCap are performing.
Overall in the last 24 hours, the category has had an increase in its market cap of 11.48% to 25 billion dollars, with a decline in trading volume of -9.85%.
In detail, ICP is one of the top gainers of the day, with a price increase of 8.17%, followed by AKT which recorded a pump of 6.16% and ROSE which closes the podium with 5.83%.
Good performances also for RNDR; INJ, NEAR, GRT. TETHA, AGIX, and other AI tokens that opened the day in green, promising potential increases in the afternoon.
Descending by market capitalization and observing the lesser-known coins, we can notice how in the last 7 days the best artificial intelligence projects have had very interesting double-digit gains.
Only1 (LIKE) has increased by 57.36%, Victoria VR (VR) by 47.48%, and Arcblock (ABT) by 36.22%. All 3 of these tokens have a market capitalization of less than 100 million dollars.
The entire AI token sector could have a very interesting 2024, given the technological advancements that this type of technology is implementing and the increasingly innovative products that are being launched on the market.
Binance, recently launched a token through its launchpad, called Sleepless AI (AI), which fully fits into this narrative that has captured the attention of retail audiences worldwide.
Meta’s quarterly results push the stock up by +16% in pre-market
As mentioned, today’s rise in AI cryptographic tokens could be somehow related to the trust that Meta investors are giving to the tech company, which has decided to strongly focus on the artificial intelligence trend, pushing the technology stock higher.
Mark Zuckerberg, president and CEO at Meta in the years 2021-2022, had decided to bet on the growth of the metaverse industry, completely wrong in his prediction and causing significant losses to his stakeholders and owners of the META stock, which in 2022 lost about 60% of its value.
In 2023, however, the Facebook company has decided to abandon the metaverse and focus on the AI world, as it is one of the most discussed topics on the web after OpenAi released the beloved chatbot ” ChatGPT “.
Today we can say that the change of course has been beneficial for the technological giant, which sees in the last quarter of Q4 2023 a tripled net profit of 14 billion dollars compared to the 4.65 billion of the same period of the previous year.
The credit for the boom in advertising revenue has been attributed by Zuckerberg to artificial intelligence and the progress made by the company’s advertising division.
As a result, the META action has grown by an incredible figure of 16.90% in Nasdaq’s premarket, bringing the stock quotes to 461 dollars.
Given the results, Meta will most likely continue to strike while the iron is hot and focus on AI for the next quarters of the current year, indirectly pushing the growth of cryptographic tokens related to the theme of artificial intelligence.
It is worth noting here that the rise in the tech giant’s shares is also due to the company’s 8% decrease in annual expenses, with the workforce declining by 22% in 2023, and the group’s decision to carry out a $50 billion buyback.
In commenting on the accounts, Zuckerberg confirmed the goal of continuing to invest in AI, adding that the workforce will remain lean following the wave of cuts.
“We had a good quarter as our community and our business continue to grow. We have made significant progress in our vision for the advancement of artificial intelligence and the metaverse.”
Meta has also announced that it is issuing its first-ever dividend, which will pay 50 cents for each shareholder’s share starting from the next March 26th.