AI Tokens Surge Ahead of Nvidia's Anticipated 'Super Bowl' Earnings Report

Artificial intelligence-based cryptocurrency assets have experienced significant gains, with some surging as much as 70% over the past week, as the market eagerly anticipates Nvidia's upcoming second-quarter earnings report.

AI-focused tokens such as Near Protocol (NEAR), Fetch.ai (FET), Bittensor (TAO), and Render (RENDER) have outperformed the broader crypto market in recent days. Near Protocol's native token saw a 35% increase over the past week, reaching a four-week high of $5.20 on August 25.

Fetch.ai, part of the Artificial Intelligence Alliance—a consortium that includes Ocean Protocol and SingularityNET—saw its FET token surge nearly 70% in a week, reaching $1.39 on August 26. On-chain analytics platform Lookonchain highlighted the significant gains and noted unusual whale trading activity in FET. The platform observed that a whale "appeared to regret selling" at a lower price and spent $2.38 million in Tether (USDT) to repurchase 1.79 million FET tokens from Binance at a higher price of $1.33 on August 25.

Other AI-related crypto assets have also outperformed, with TAO gaining 26% over the past week, peaking at $350 on August 26. Meanwhile, RENDER has risen approximately 40% in the last seven days, climbing to $6.45 on August 26, according to CoinGecko data.

Most major AI tokens have fully recovered from the market downturn earlier in August.

Nvidia's Earnings: The "Super Bowl" of Tech Reports

The surge in AI-related assets comes as the market gears up for one of the year's most significant tech earnings reports. On Wednesday, August 28, Nvidia is set to release its Q2 results.

Dan Ives, a prominent tech analyst from Wedbush Securities, referred to this as "the most important tech earnings in years," emphasizing that the demand for new data center capacity, driven by the explosion of AI chatbots, is fueling the tech consumer market. In an August 22 note, Ives wrote, "There is one company in the world that is the foundation for the AI Revolution, and that is Nvidia."

Mike Smith, a portfolio manager at Wellspring Global Investments, likened Nvidia's earnings to the "Super Bowl," adding that "Nvidia is the mindset stock today."

Nvidia's revenue increased by 18% between Q3 2023 and Q1 2024, surging 262% over the past year. Nvidia's stock has soared by an astonishing 180% over the last six months, reaching an all-time high of $135 in mid-June. Despite a market correction in August, the stock has recovered 30%, closing just below $130 on Friday, August 23.