With analysts expecting NVIDIA’s revenue to nearly double, how will these potential gains impact AI-focused cryptocurrencies?
NVIDIA (NVDA) has been the talk of the town, and for good reason. The tech giant, known for its powerful graphics cards and AI innovations, is set to report its fiscal second-quarter 2025 earnings on August 28.
NVIDIA has already had a remarkable year, with its stock price up more than 173% year-to-date. As of August 27, NVDA is trading at $127.81.
Analysts at FactSet project NVIDIA’s revenue is expected to nearly double, from $13.51 billion in Q2 FY24 to $28.6 billion in Q2 FY25.
Additionally, earnings per share are expected to hit a record high, with analysts expecting 65 cents per share — a 141% increase from the previous year.
However, not everything was going smoothly. Earlier this month, reports indicated that appeared NVIDIA’s latest Blackwell AI platform is expected to face delays due to design flaws, potentially delaying deliveries by at least three months.
Despite this, major analysts, including those from Goldman Sachs and Loop Capital, remain bullish, according to Yahoo Finance. Reported.
They point to the strong performance of NVIDIA’s existing Hopper platform and improved revenues from TSMC, the company’s chip maker, as reasons for their confidence.
These analysts believe NVIDIA is still on track to meet or even exceed its second-quarter expectations, with some speculating that the company may raise its forecast for the third quarter.
The big question now is how will NVIDIA’s performance impact AI-powered cryptocurrency tokens, and what lies ahead for the tech and crypto sectors? Let’s explore that.
AI Token Prices Surge Amid Strong Earnings Expectations From Nvidia
As anticipation builds for Nvidia’s Q2 earnings report, excitement is spreading to the crypto world, especially among AI-focused tokens.
Over the past week, these tokens have seen notable gains, outpacing the broader crypto market as investors bet on the strong performance of the artificial intelligence sector.
The campaign is led by the Super AI Alliance (FET) token, a project that unites Fetch.ai, Ocean Protocol, and SingularityNET. FET has surged nearly 50% in the past seven days, trading at $1.30 as of August 27.
The rally was so strong that even a whale investor, who sold 2.33 million FET tokens between August 11 and August 23 at $1.02, seemed to regret the decision.
This investor then purchased 1.79 million FET tokens at a higher price of $1.33, spending 2.385 million USDT, according to Look On Chain.
Another AI token on the rise is Render (RNDR), a decentralized GPU rendering network that allows creators to leverage idle GPU power to render digital content.
RNDR has also performed stellarly, rising over 36% in the past week and trading at $6.08 as of August 27.
Meanwhile, NEAR Protocol (NEAR) has also joined the rally. The native NEAR token has surged by around 20% over the past seven days, trading at $4.76 as of August 27.
In conjunction with these individual token gains, the combined market cap of AI-related crypto tokens rose from a 30-day low of $18.21 billion on August 5 to $32.74 billion on August 25 — an increase of about 80% — before settling at $30.72 billion as of August 27.
It’s clear that the bullish momentum in the AI sector has carried over to AI-related crypto tokens. With investors anticipating strong results from NVIDIA, they are also positioning themselves in the crypto market, particularly in AI-related tokens. What happens next could set the tone for both the tech and crypto sectors in the coming months.
Funding flows to AI and crypto projects
It’s not just AI token prices that are soaring – AI crypto project funding has also seen a massive surge, with large inflows into projects that blend AI and blockchain technology.
A prime example is PIP Labs, which created Story Protocol, a layer-1 blockchain designed to tokenize intellectual property. The project aims to ensure that original creators are rewarded in the age of artificial intelligence, a concept that has resonated strongly with investors.
PIP Labs on August 21 closed $80 million Series B funding round, led by a16z crypto, pushing their valuation to an impressive $2.25 billion.
Sahara Labs is another prominent company in the crypto and AI space. The startup is developing Sahara AI, a decentralized platform that promises to fairly compensate AI contributors. Their recent strategic funding circular Raised $37 million, co-led by Pantera Capital and Polychain Capital.
Meanwhile, Sentient, co-founded by Polygon’s Sandeep Nailwal, made headlines on July 2. insurance $85M Huge Funding Round.
Adding to the investment wave is “Spacetime,” a verifiable, multi-purpose computing layer that operates at the intersection of AI and blockchain.
On August 27, the company announced that it had secured $20 million in Series A funding to expand its market leadership led by venture capital firms Framework Ventures, Lightspeed Faction, Arrington Capital, and Hivemind Capital.
This comes on the heels of a $20 million strategic funding round led by Microsoft’s M12 Ventures in September 2022.
Why Encrypted AI Is the New Frontier
To fully understand why AI-based crypto projects are gaining so much momentum, it is helpful to draw historical parallels, particularly with the internet boom of the late 1990s and early 2000s.
At the time, the Internet was transforming from a niche technology into a global force, and companies that recognized its potential early on—like Amazon and Google—would grow into the giants of the digital age.
This transformation required massive investments in new infrastructure, such as data centers and content delivery networks, to unleash the full potential of the Internet.
We see a similar pattern today with artificial intelligence. As AI advances, the demand for infrastructure that can handle the massive amounts of data it generates and processes is skyrocketing.
NVIDIA is at the forefront of this trend, with its GPUs supporting some of the most demanding AI applications, making it a key player in the continued expansion of AI.
Moreover, as AI becomes more deeply integrated into various industries, the need for secure, decentralized systems — such as those developed by AI crypto startups — will continue to grow.
By combining the strengths of AI and blockchain, we are creating a new class of smart digital assets that are secure, transparent, and capable of solving real-world challenges.
As this trend continues, it is clear that the future of cryptocurrencies lies not only in digital currencies, but in the smart systems that support them. This is an area worth following closely, as the possibilities are truly endless.
Disclosure: This article does not constitute investment advice. The content and materials on this page are for educational purposes only.
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