Date: Fri, Sept 06, 2024, 08:36 AM GMT
The cryptocurrency market has been hit hard in the past week, especially for top AI tokens like Artificial Superintelligence Alliance (FET), Render (RENDER), and Bittensor (TAO). These tokens have seen a significant drop in prices over the last seven days following a sharp decline in Nvidia’s shares. On September 3rd, Nvidia’s stock plummeted by over 9%, wiping out more than $280 billion in market value in just one day. This dramatic drop occurred after the U.S. Department of Justice (DOJ) issued a subpoena to Nvidia, causing widespread concern among investors.
However, Nvidia has since refuted the claims of the DOJ’s subpoena, which has helped restore some market confidence. A spokesperson for the company stated that Nvidia would fully cooperate with regulators if necessary, further reassuring investors.
Amid this situation, Bank of America (BofA) has reiterated its bullish stance on Nvidia’s stock. BofA analysts have maintained their buy rating for NVDA, reaffirming a price target of $165. They highlighted the “compelling growth” potential of the firm, emphasizing that despite the short-term challenges, Nvidia’s stock remains an attractive option for investors. The recent dip in its price might even present a buying opportunity.
When there are positive advancements in the technology sector, particularly in artificial intelligence, it tends to lift the prices of these tokens.
With Nvidia’s stock showing signs of recovery, investors are now watching closely to see if AI tokens will follow suit.
Disclaimer: The content presented in this article is intended for informational purposes only and should not be construed as financial advice.