Nvidia’s impressive Q1 earnings report caused AI-related stocks to surge, but AI crypto has not followed suit despite Crypto trader’s expectations.
On May 22, Nvidia released its Q1 earnings report. Revenue jumped 18% from the previous quarter and surged 262% year-over-year, beating analyst estimates of $24.6 billion.
The earnings report was released after the NYSE market closed on May 22. However, Nvidia’s stock spiked 6.06% in after-hours trading, reaching $1,007 and pushing its market capitalization to over $2.5 trillion.
Anticipating Nvidia’s earnings report, investors expected a positive outcome to be a catalyst for AI-related cryptocurrencies.
This led many AI-related projects to rally hard ahead of the report, as investors scrambled to capitalise on the best AI cryptocurrencies.
AI Crypto Falls Despite Nvidia Earnings
Immediately following Nvidia’s earnings report, tokens such as Fetch.ai (FET), The Graph (GRT), Injective (INJ), Render (RNDR), and SingularityNET (AGIX) did jump higher. However, many of them have since started to retrace.
With Nvidia and other AI-focused companies performing so well in the stock market, the question many investors are now asking is whether AI-related crypto tokens will also benefit from the bullish sentiment surrounding AI.
Notably, On May 22, a known “whale” wallet transferred approximately $52.1 million worth of Render to an unknown wallet, as reported by Santiment. This could indicate that holders were anticipating a “sell the news” event.
Whale activity has been high among the #AI sector, and #Render has been no exception. A known whale sent 4.89M $RNDR (worth $52.1M) to an unknown wallet earlier today as prices corrected. Those holding this asset should watch for increased volatility. https://t.co/AIKq9INw1M pic.twitter.com/EG1Rd1HhcA
— Santiment (@santimentfeed) May 23, 2024
However, this initial retracement might precede a rally. Pseudonymous crypto trader D0c Crypto pointed out that RNDR didn’t experience a price spike until 48 hours after Nvidia’s previous earnings report during an X post.
$NVDA earnings in 1 hour:
During the Nvidia Q4 earnings event in February, $RNDR rose 38% in 48 hours.
If history repeats itself, it could mean that $RNDR pumps above $15 from the current price within 48 hours!
Like this post if you think history will repeat itself! pic.twitter.com/3NoNVUiTcB
— D0c Crypto (@TheRealD0c) May 22, 2024
This marks a potential opportunity to enter the market and see further gains following the Nvidia earnings report, as well as a potential buying opportunity.
Although this sentiment does pose some potential gains, the aforementioned AI crypto projects are limited due to their high market capitalization. Consequently, traders looking for quicker and bigger gains may do well to investigate some of the newer low-cap AI coins currently doing the rounds.
Meet Crypto’s First AI Trading Companion: WienerAI
Enter WienerAI ($WAI), a new meme coin and AI companion cited to become every crypto trader’s Best Friend.
The meme coin market is over-saturated with Shiba Inu-themed coins boasting little to no real utility. Something which may credit Weiner AI’s (WAI) recent success, raising over $2.7 million in its presale so far.
2 MILLION WIENERS!!!!
— WienerAI (@WienerDogAI) May 17, 2024
Touted as a “Revolutionary AI Trading partner”, WienerAI is a digital companion that gives its owners user-friendly AI-enhanced trading advice, seamless swap functionality, and zero fees.
Around 20% of $WAI’s supply is for staking, and investors are currently earning a massive 409% APY, as per the project’s official website. This places WeinerAI among some of the best passive income crypto gems.
How staking your $WAI feels.https://t.co/g0LrikQz90 pic.twitter.com/3VneRo9wTq
— WienerAI (@WienerDogAI) May 9, 2024
Keep up-to-date with WienerAI news over on X and Telegram.
The post Nvidia’s Q1 Earnings Propel AI Stocks While AI Crypto Dips – Time to Buy? appeared first on Cryptonews.
