Nvidia’s After announcing earnings for the second quarter of 2024 that beat estimates but failed to impress investors artificial intelligence Cryptocurrencies related to the arena are on the decline. Artificial Superintelligence Alliance (FET) fell nearly 7.8% to $1.1663 just hours after Nvidia’s earnings announcement. Bittensor (TAO) fell 4.5% to $295.22 and Render (RNDR) fell 6.8% to $5.47, according to CoinMarketCap data.
Nvidia and AI Tokens
Nvidia’s Despite generating $30 billion in revenue in the second quarter of 2024, a 15% increase from Q1 and around $1.32 billion above previous estimates, it appears that’s not enough. Market commentator Lisa Abramowicz wrote the following in an X post on August 28 following Nvidia’s announcement: A Prize Pool Worth 21 Million TL Awaits You from BinanceTR! Participating and winning has never been easier.. You can sign up to BinanceTR from this link. Get your first crypto!
“Better than expected is not enough for Nvidia. It’s clear investors are expecting this company to blow away expectations.”
Some analysts have predicted it would be at least 10% of Wall Street estimates. According to Google Finance data, Nvidia (NVDA) The stock price closed the August 28 trading day at $125.61 and has since fallen another 6.89% to $116.95 in after-hours trading.
The performance of AI crypto tokens has been closely tied to Nvidia’s performance and earnings reports in previous quarters, with some crypto market participants predicting that AI crypto tokens would stumble following the earnings announcement.
Details on the Subject
Nvidia, makes chips that companies use to train and deploy AI models. After releasing Q1 earnings in May, AI crypto tokens have similarly fallen despite Q1 revenue rising 18% compared to Q4 2023. Bloomberg’s Ed Ludlow reported on August 28:
“The story is still intact. There is no demand problem here, and cloud computing providers, companies that basically run data centers, what we call hyperscalers, continue to spend on Nvidia’s product.”
This comes after the market value of AI and big data crypto projects and tokens increased by 79.7% in the three weeks following the sell-off on August 5. Bitcoin fell below $50,000 for the first time since February. At the time, the total market value of AI and big data crypto projects had fallen to an annualized low of $18.21 billion.
Disclaimer: The information contained in this article does not contain investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
