FET, TAO react after Nvidia Q2 earnings: What’s next for these AI tokens?

by
    Nvidia reported that its Q2 earnings generated $30.04B.
    FET and TAO to benefit from NVDA positive news in the long-term. 

As a researcher with a background in both technology and finance, I find myself constantly intrigued by the dynamic interplay between traditional industries and the burgeoning crypto sector. This week has been particularly exciting as we witness Nvidia’s impressive Q2 earnings report and its ripple effects on the AI-focused cryptocurrencies like FET and TAO.

This week, the artificial intelligence sector has seen a remarkable comeback, surpassing other industries in performance, even amidst recent market declines.

As a crypto investor, I’m thrilled about the latest Q2 earnings report from Nvidia [NVDA]. They managed to rake in an impressive $30.04 billion in revenue, which was 3.8% more than what analysts had predicted! Additionally, they exceeded expectations when it comes to adjusted earning per share, posting a strong 68 cents compared to the anticipated 64 cents. This stellar performance is certainly something to celebrate!

Regarding question number 3, Nvidia anticipates generating approximately $32.5 billion in revenue, marking a significant 80% growth from last year’s figures, contrasted with the projected earnings of around $31.7 billion.

Read more$70 million in 24 hours: Can Ethereum crack $4,000 thanks to whales?

AI projects with most mindshare

Among various AI-related projects, Bittensor [TAO], Artificial Superintelligence Alliance [FET], Near Protocol [NEAR], Arkham [ARKM], The Graph [GRT], and Internet Computer [ICP] have been the most widely discussed prior to Nvidia’s financial report release.

In the past few weeks, there seems to be little connection between the performance of AI tokens and Nvidia stocks. However, this situation might stimulate curiosity, possibly causing both their values to rise as technical and underlying factors become more aligned.

The favorable financial results released by Nvidia have sparked increased curiosity towards TAO and FET, making them strong candidates vying for dominance in the AI-focused cryptocurrency market.

Price action reaction of FET and TAO

Read moreBitcoin halving could be a ‘sell-the-news’ event, at least for a few months

Following Nvidia’s earnings announcement, the price action of FET showed promising signs.

The cost of FET appears to be stretching out following a compression, as Bollinger Bands widen after the price rebounded from a support point on the daily chart.

Furthermore, FET has escaped from a descending triangle formation, suggesting it could rise further based on Nvidia’s robust financial performance. The increasing number of buyers seems to dominate the market right now, as evidenced by the rising volume bars.

1. It’s worth noting that Bittensor may gain from Nvidia’s latest financial updates. Meanwhile, TAO‘s price movement appears to have surpassed its previous downward trend line, suggesting potential growth if it maintains this level as support.

Read morePEPE flips Optimism: Can OP emerge from the memecoin mania?

If the price of TAO doesn’t hold its current support, it may be prudent to postpone further investments for a while. Nevertheless, given that the price of TAO is currently quite affordable, it might be a good moment to purchase more tokens.

Performance overview

At the moment, according to the most recent information available, TAO is valued at approximately $295.17 per unit, whereas Fetch.ai stands at about $1.21. It’s worth noting that FET boasts a larger market capitalization of around $3.04 billion compared to TAO’s $1.93 billion.

Compared to TAO, FET‘s higher volume-to-market cap ratio of 13.67% indicates that it may be more stable in terms of price fluctuations, making it potentially a safer investment choice.

Regardless of both coins dropping by more than 60% from their maximum values, FET has exhibited a more regular pattern of growth on major time scales, boasting an annual increase of approximately 406%.

Read Artificial Superintelligence Alliance’s [FET] Price Prediction 2024–2025

TAO future prediction

In the future, Comparison Market forecasts that if TAO‘s market capitalization ever matches Solana’s (SOL) current value, its price could soar over 30 times, potentially setting a new value of around $9,186 for each TAO token.

Yet, this forecast relies on the state of the market and Nvidia’s ongoing impact on AI-focused cryptocurrencies.

Read More

2024-08-29 22:16