Nvidia’s stock explosion benefits AI cryptocoins

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Last Updated on 6 November 2023 by CryptoTips.eu

So far, 2023 will mostly be known as the year of AI or artificial intelligence. The super-fast development of ChatGPT (the program is owned by OpenAI, a company that was funded by Microsoft) was perceived by Google as a threat to its own market share in search and was therefore rapidly answered with Bard. On top of that, we had Dall-E and many other AI programs.

Investor enthusiasm in AI propelled American chipmaker Nvidia to a trillion dollar market cap this week. Unlike other US tech giants that have reached a $1 trillion market cap — Apple, Microsoft, Google, and Amazon — Nvidia is “not a household name.”

But behind the scenes Nvidia’s chips, which give AI programs the power they need, have become simply indispensable. The graphics processing units made video games sharper and of a better quality. Apparently, the computing power required for such graphics can also handle the complex calculations that underlie modern AI systems, such as ChatGPT.

Jensen Huang, the CEO of Nvidia, is therefore the newest star in Silicon Valley.

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AI-chips

At the same time, this is good news for AI crypto coins, which became a whole new department within crypto this year.

As it becomes increasingly popular to put AI projects on the blockchain, this in return leads to a dramatic increase of the price of AI crypto coins. When Nvidia reported explosive sales expectations for its AI chips this week, SingularityNET, an well-known AI crypto, rose nearly 20%. Smaller AI cryptos were up 5% across the board.

The crypto from Coinmarketcap’s top 50 that rose the most in the last three months is still Render token, another AI-crypto coin.

So be aware that every time you read good news about Nvidia, you can expect the AI crypto coins to get a boost as well.

mobilinchen / Depositphotos.com

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
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