In the last 7 days, AI-themed tokens have outperformed the benchmark, surpassing Bitcoin and recording the biggest gains in the crypto sector, mainly supported by Nvidia’s rally.
Let’s see everything in detail below.
Summary
Crypto and Artificial Intelligence (AI): the tokens with the best performance in the last week driven by Nvidia’s stock
During the last 7 days, while uncertainty reigns between Bitcoin and Ethereum, niche artificial intelligence tokens have brought home excellent results with double-digit percentage performances.
Since the trend of AI exploded in the middle of 2023, reaching almost all areas of daily life thanks mainly to the innovations brought by the microchip producer Nvidia, all cryptocurrencies that base their infrastructure on big data and machine learning software have recorded a frightening rally.
However, in the last two months, due to adverse market conditions, these coins have seen part of the progress made earlier lost, sometimes leading to reductions of up to 50%.
Anyway since the beginning of May, supported by the graphic rebound of BTC and NVIDIA; these tokens have returned to a bullish trend.
Regarding this, among the best examples of digital tokens in the artificial intelligence sector in the last week we find NEAR; RNDR, GRT, FET, AGIX, AKT, AIOZ, GLM, and ARKM.
In particular, we can see how NEAR has grown by about 20% in just 7 days of trading, regaining a bullish trajectory on the chart around $7 and approaching the previous local high.
RNDR has seen a pump of about 40% in the same period, returning to $10 after dropping to around $7 just a few days earlier. Compared to the prices in January 2023, this crypto is at a 20X.
Honorable mention also goes to AIOX and ARKM, which respectively gained 42% and 32% during the analyzed period, ranking among the best tokens overall on the speculative front.
Overall, the “Top AI & Big Data” category on Coinmarketcap has seen very positive gains reaching a global market capitalization of 37.4 billion dollars.
If the macroeconomic context does not become more complicated and if NVIDIA continues its upward trend, we will probably see more exciting weeks also for AI-themed crypto tokens.
As reiterated by Hitesh Malviya, founder of DYOR, in an interview with Coindesk:
“There is a strong buzz around Nvidia’s upcoming earnings. “AI chips will continue to have [higher] cyclical cycles as they are directly correlated with the entire AI development happening around us.”
Nvidia returns to $900 and rekindles market expectations
As mentioned, the excellent performance of AI crypto has been mainly driven by the technology stock NVIDIA, which has resumed its upward trend since April 22 after a period of price distribution.
For about a month, in fact, the parent company of graphics cards (the same ones used years ago for Ethereum mining) has seen its stock prices drop by 20%, going from $960 to around $750.
With the last positive impulse, the AI giant has returned above $900, bringing prices above the 50-period moving average on the daily time frame, flooding the entire speculative stock market sector with optimism.
Even on Monday, the price had reached $922, hitting the highest point of the last month and recovering almost completely from the previous dump, before slightly losing ground.
The premarket of today’s session predicts a slight decrease around 897 dollars, where the stock could rest before another leg up.
The chip producer Nvidia will release first-quarter earnings data on May 22 after the close of the US market. The results will be crucial in determining the graphic trajectory of the coming months for all companies listed on the Nasdaq and all AI-themed cryptocurrencies.
According to Zacks Investment Research forecasts, Nvidia will report an earnings per share of 5.49 dollars, with a 403% year-over-year increase.
Even Bloomberg is optimistic that the results could be favorable for a continuation of the bull market in the field of AI.
In the midst of this optimism tinged with concern, there are currently media speculations circulating about the upcoming release in version 5 of ChatGPT, OpenAI’s flagship product.
Its launch in the near future could drive new investments in its own sector, with obviously positive effects on AI stocks.
On this matter, Hitesh Malviya, founder of DYOR, stated the following:
“OpenAI will launch a new model in the coming months, better hardware will be developed and more funds will be invested in the space. We are in a super cycle of artificial intelligence right now”
