Big tech stocks led a heavy sell-off on Tuesday. AI leader Nvidia lost more than $250 billion in its market cap. However, this setback will not stop the growth of AI-crypto projects, experts say.
Crypto-linked artificial intelligence projects ride out market volatility to soar beyond their $25 billion market.
They said, according to Alice Liu, research lead at CoinMarketCap News The market segment still “has a lot of room for growth.”
Chipmaker Nvidia led a selloff in tech stocks on Tuesday, wiping $250 billion off its market capitalization, reviving fears that the buzz around AI is a bubble waiting to pop.
“I wouldn’t call it a bubble,” she said.
Liu added that the fall in Nvidia’s stock “doesn’t undermine the progress made in AI projects.”
The future of the field depends on the ability of projects to identify “the real use cases and utility of crypto/blockchain in the AI space rather than treating it as meme-fied concepts.”
Reinforced by Expectations The combined power of crypto and AI could add $20 trillion to the global economy by 2030, with investors injecting more than $750 million into the sector this year.
AI-Crypto Projects Interest in the field of AI has grown nearly sixfold in the past year. The two top cryptocurrencies, Bitcoin and Ether are up 103% and 46% respectively.
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“There will be a ton of AI and crypto opportunities,” said Cosmo Jiang, portfolio manager at Pantera Capital. News In an interview this summer. Hedge fund to invest north of $200 million in intersection of AI and blockchain through 2030
Bitcoin miners are diversifying by leasing processing power to productive AI developers. VanEck defended the strategy and said it could generate $14 billion in profits, while others accused miners of taking their eye off the ball.
Blockchains can provide decentralized tools for developers to better validate data and train large language models.
Lei Shi, head of trading at crypto trading firm Arrows, said the market’s future success will depend on macro factors such as the performance of VC-backed startups and the upcoming US election.
“These projects, combined with favorable macroeconomic conditions, could pave the way for a more favorable environment for AI-powered crypto solutions,” Shi said. News.
Crypto market movers
Bitcoin fell 3.4% in the last 24 hours to $56,144. Ethereum fell 3% during the same period to $2,377.
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Eric Johnson is the news editor for DL News. Got a tip? Email [email protected].
Related Topics Artificial Intelligence (AI)