Nvidia Surpasses Apple, Boosting AI Token Performance

Several AI-focused cryptocurrencies have posted double-digit gains, driven by Nvidia's recent achievement of surpassing Apple in market capitalization.

Several AI-focused cryptocurrencies posted double-digit gains on Friday, as recent milestones achieved by chipmaker Nvidia (NASDAQ:NVDA) in the stock market continued to drive sentiment in the AI-based cryptocurrency market.

As Nvidia stock rose, pushing the company’s market capitalization to $3.43 trillion, several AI tokens also posted gains on Friday.

Following the recent rally, Fetch.ai (FET), Bittensor (TAO), Render (RNDR), and NEAR Protocol (NEAR) were among the tokens that recorded gains. FET rose by 21.8%, while Bittensor spiked by 19.4%, reaching levels last seen in October. All the tokens moved upwards, with Render and NEAR up by 11.97% and 9.08%, respectively.

According to data from CoinGecko, the overall market capitalization of AI tokens increased by 16.8% over the last 24 hours and now stands at $28.5 billion.

Meanwhile, the market capitalization of 337 tokens linked to AI technology increased by 11.56% to $33.2 billion, with the trading volume reaching $2.99 billion, up by 108% in one day.

Analysts have projected that this market could grow to $100 billion by 2025, indicating high growth rates for the AI-powered crypto sector.

The recent rally among AI tokens follows a trend where these digital assets have benefited from Nvidia’s progress.

In the past few months, such surges have also been triggered by Nvidia’s collaborations and strategic actions, like the one with Alibaba (NYSE:BABA) Cloud that took place in September. Another blockchain project, Clore AI, which is linked to GPU leasing, also saw positive effects from the recent rise of Nvidia stock in the market this month.

Investors have generally reacted positively to Nvidia’s results, seeing them as a barometer for the emerging market for AI technology.

The latest rally comes just as Nvidia is set to replace Intel (NASDAQ:INTC) in the Dow Jones Industrial Average on November 8, highlighting the company’s ascendance over traditional silicon makers. This could further strengthen NVDA’s role in the AI market and may bode well for other AI-related tokens.

Finally, the recent rally of Bitcoin, which hit an all-time high of $75,358, has also brought new strength to the cryptocurrency market, boosting the performance of all AI tokens. The rally in Bitcoin is helping to create a bullish mood in digital assets, which is supporting the positive trend in AI crypto assets, while Nvidia’s successes are also lending support.