Nvidia will report its second quarter results on Wednesday. AI Crypto Coins Expected to Reach $33 Billion Still, traders should brace for more market turmoil if the chipmaker fails to impress, one analyst said.
Traders are clamoring for Nvidia's earnings.
“They should be really impressive,” says Luke Nolan, research associate at alternative asset manager Coinshares. News.
The stakes are high. Disappointing results from other Silicon Valley giants weighed on AI momentum this month and — combined with recession fears — caused the worst one-day stock drop since 2022. Crypto has also suffered.
AI has become a major factor for growth in the crypto industry. Bitwise It is expected to contribute $20 trillion to global GDP by 2030, and venture capitalists are expected to pour hundreds of millions into the intersection of AI and crypto in the next few years.
Two results
Nvidia is building up the AI hype Briefly It became the world's most valuable public company in June. If it meets expectations, analysts expect investors to sell shares to pocket some of the gains before loading up on the stock again.
Based on that scenario, the total value of AI-linked coins has risen nearly 80% over the past three weeks, reaching $33 billion as of Friday. CoinMarketCap. It dropped to about $30 billion.
The market is “ahead of expectations for another very solid quarter for Nvidia,” said David Brickell, head of international distribution at capital markets advisory firm FRNT. News.
However, that positioning could come back to bite them, Nolan said.
Join the community to get our latest articles and updates
Not only will US benchmarks, including the S&P 500 and Nasdaq, fall, but AI crypto will be “hit even harder as narrative trading is halted,” he added.
That's unlikely, said Brickell, who watched. “There is little reason to expect anything but another strong report.”
“The AI sector continues to be a powerful growth story that investors will look to increasingly participate in,” he added.
Eric Johnson is the news editor for DL News. Got a tip? Email [email protected].
Related Topics Artificial Intelligence (AI)
