In recent market reports focusing on the performance of assets on the Blockchain, we see a bullish move in various AI tokens.
This has been the case over the past week as assets like FET, RENDER, and TAO are seeing rises of 8.8%, 2.04%, and 4.7% respectively.
For mainstream crypto assets like Bitcoin, Ether, and XRP we are seeing slight devaluation across the board. Most market analysts point to the coming NVIDIA earnings report for Q2, 2024 as a major reason for the growth in AI tokens.
AI Tokens And NVIDIA’s Role In Their Recent Surge
Over the past few years, we have all become familiar with the term Artificial Intelligence (AI), and its role in the technology industry. Well, AI tokens are simply cryptocurrencies that exist on the Blockchain to power AI projects.
With various firms moving into the AI space, AI tokens have been gaining some popularity as they aid in powering the various projects that these firms are working on.
Pulling in a market cap of about $26 billion, AI tokens are surging, and the best-performing of these tokens currently is FET of the Artificial Superintelligence Alliance.
Over the past few hours, analysts point out that Asian investors have been pumping findings into the likes of FET and TAO. This move is in anticipation of NVIDIA’s earnings reports for Q2, 2024.
NVIDIA is currently a top leader in the AI industry, as its chips are becoming the first pick for most AI firms. Without these chips, most firms won’t be able to carry out their AI processes hence leading to a high demand for NVIDIA chips among AI firms.
Currently, NVIDIA accelerator systems control between 70-95% of AI intelligence chips on the market. NVIDIA’s revenue has gone up about 262% in year-on-year growth, which is a result of their domination of the AI chip market.
So the announcement of NVIDIA’s earnings report for Q2 2024 is going to impact the AI tokens space. This announcement is set to take place in about two days and investors are already betting big on AI tokens like FET, RENDER, and TAO.
Major Cryptocurrencies Dwindle in the Face of AI Tokens
While we notice a significant rise in AI tokens, there is also a significant drop in top cryptocurrencies. Bitcoin is currently under $64,000 and ETH is currently down 0.52% trading just under $2750.
Both Solana and XRP are struggling to keep up, while AI tokens are in a bullish frenzy. This performance is a result of the current inflation of the financial market, as analysts claim.
Over the next few days, we’ll keep an eye on the performance of AI tokens as well as major cryptocurrencies. Analysts predict movement across not only AI tokens but also top cryptocurrencies, which will be fuelled by some coming news and events.
