The cryptocurrency market is witnessing a remarkable resurgence, driven by the soaring popularity of artificial intelligence (AI) tokens and the rally in shares of Nvidia (NVDA), a leading chipmaker at the forefront of the AI revolution. As market observers point out, “We are in an AI super cycle right now.”
AI tokens, such as RNDR, AGIX, FET, and TAO, have outshined itcoin">Bitcoin by a wide margin, leading the crypto market recovery in recent days. RNDR, the utility token of decentralized GPU-based rendering solutions, The Render Network, has surged almost 40% in seven days, marking the biggest gain among the top 100 cryptocurrencies by market value. Other AI coins have gained between 17% and 23%, outperforming the broader market.
Nvidia, a poster child for all things AI, has also caught investors’ attention, with its shares rallying to a one-month high ahead of its first-quarter earnings report on May 22. Zacks Investment Research expects the company to report a 403% year-on-year increase in earnings per share, fueled by the growing demand for its AI-focused chips and solutions.
The AI hype has spilled over into the broader tech sector, with speculation rife that OpenAI is likely to launch version 5 of ChatGPT in the coming months. Major technology giants, including Apple, have reported better-than-expected quarterly earnings growth, driven by substantial investments in artificial intelligence. As the founder of DYOR aptly puts it, “OpenAI will launch a new model in the coming months, better hardware will be developed, and more funds will be injected into the space. We are in an AI super cycle right now.”
