In the past 24 hours, major artificial intelligence-related cryptocurrencies have experienced significant price declines, with the recently merged Artificial Superintelligence Alliance token leading the downturn. This correction in AI crypto prices comes despite Nvidia’s stock showing gains in pre-market trading, as anticipation builds around the company’s upcoming earnings report.
Among the leading tokens in the AI cryptocurrency sector, Near Protocol, Internet Computer, Artificial Superintelligence Alliance, and Bittensor have all recorded losses. Near Protocol, with a market capitalization of $5.5 billion, fell by 8%. Internet Computer saw a 5% decrease, Artificial Superintelligence Alliance dropped 9%, and Bittensor declined by 8%.
Data from CoinGecko reveals that the total market cap of AI tokens stands at $23.9 billion, marking a decrease of over 6% in the past 24 hours. This downturn is mirrored across the broader cryptocurrency market, which has seen a 6.8% reduction, with the global market cap now at $2.17 trillion.
Anticipation Builds Ahead of Nvidia Earnings Report
Despite the AI crypto downturn, Nvidia’s stock has shown a modest gain of 0.52% in pre-market trading, reaching $128.97. The tech giant’s earnings report, scheduled for release after the close of markets in New York on Wednesday, is highly anticipated. Nvidia’s performance is closely watched due to its significant influence on the broader market. The company’s stock has surged by 159% since the beginning of the year and has increased approximately 3000% since 2019.
Lukman Otunuga, Senior Market Analyst at FXTM, highlighted the potential market impact of Nvidia’s earnings report. "A strong earnings report from Nvidia could propel markets to new heights, while any indication of weakness might lead to a notable pullback," he said. Otunuga also pointed out several challenges facing Nvidia, including potential delays in its Blackwell chip, growing competition from AMD and Intel, and possible U.S. restrictions that could affect demand in China.
As the tech world awaits Nvidia’s earnings call, market participants remain cautious, with eyes fixed on whether the tech giant’s results will influence broader market trends and provide a boost to the beleaguered AI cryptocurrency sector.
August 2024, Cryptoniteuae