Nvidia Q2 Results Aftermath: Crypto AI Tokens Edge Lower Amid Decline In Chip Giant's Stock
Nvidia's post-earnings decline has led to a drop in AI-based cryptocurrencies, with TAO down 0.9%, NEAR down 0.8%, and ICP down 0.7%. Despite Nvidia reporting strong Q2 results and guidance, its shares fell 3% in after-hours trading, possibly due to concerns over Chinese exports. Nvidia's stock has risen 35% year-to-date, but uncertainty remains.
Artificial intelligence-based cryptocurrencies were trading lower early Thursday, coinciding with AI powerhouse Nvidia Corp.'s NVDA post-earnings decline.
The Gainers And Losers
TAO, the native token of the decentralized AI platform Bittensor, slipped 0.9% in the last 24 hours. Bittensor is an open-source system that uses blockchain technology to build a decentralized machine learning network.
Similarly, NEAR, underpinning the Near Protocol, was down 0.8%. Near Protocol is a Layer-1 blockchain that supports the development of AI-native applications.
These are two of the largest cryptocurrencies in the AI sphere, with a market capitalization of over $3 trillion.
Internet Computer's ICP token likewise dropped 0.7% over the last 24 hours. Meanwhile, RENDER, the native token of the decentralized GPU compute platform Render, defied the trend, gaining 0.5%.
These coins have no direct link to Nvidia, although their movements have occasionally mirrored those of the AI stock.
Nvidia’s Double Beat Fails To Cheer Investors
These moves coincided with a 3% dip in Nvidia's shares in after-hours trading on Wednesday.
The AI juggernaut reported stronger-than-expected second-quarter results after market close and issued a strong guidance for the third quarter.
Despite the double beat, the shares fell after-hours, potentially due to uncertainty around Chinese exports. The guidance does not include any H20 shipments to China.
Price Action: Nvidia shares slipped 3.10% in after-hours trading after closing 0.09% lower at $181.60 during Wednesday’s regular trading session. The stock has soared 35% year-to-date.
As of this writing, NVDA is rated highly for Momentum and Growth. Visit Benzinga Edge Stock Rankings to compare it with the biggest tech stocks on Wall Street.
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