Cryptocurrency assets related to artificial intelligence (AI) are experiencing a decline despite Nvidia’s impressive earnings report for the first quarter. On May 23, Nvidia, a renowned company in the AI field, exceeded analyst estimates by reporting an 18% increase in revenue from the previous quarter and a 262% increase from the previous year, reaching $24.6 billion.
Following the release of the earnings report after the New York Stock Exchange closed on May 22, Nvidia’s stock (NVDA) rose by 6.06% in after-hours trading, reaching $1,007. However, some AI token investors were disappointed that the positive results did not lead to a similar increase in AI token prices. For instance, Render (RNDR), a platform supported by Ethereum that enables decentralized graphics processing units, experienced a 12% drop in price to $10.38 just five hours after the earnings report was released, according to CoinMarketCap data.
Interestingly, data from the crypto research firm Santiment revealed that a whale wallet sent approximately $52.1 million to an unknown wallet, suggesting that large wallet holders may be anticipating a sell-off.
Popular crypto investor and analyst D0C Crypto pointed out that RNDR did not experience a price increase until two days after Nvidia’s earnings report. Other AI-related crypto assets, such as The Graph (GRT), Fetch.ai (FET), and SingularityNet (AGIX), also experienced declines of approximately 4.77%, 6.42%, and 6.25% respectively. However, investors remain optimistic that Nvidia’s results will eventually have a positive impact on the broader crypto market.
It is important for investors to recognize that the information provided in this article does not constitute investment advice. Cryptocurrencies are highly volatile and carry risk, and investors should conduct their own research before making any decisions.
