Nvidia has been the hot stock for the last few years. First fueled by it's GPUs for mining crypto in particular Ethereum it quickly needed to find a replacement of value after $ETH when to proof of stake an no longer required massive amounts of GPUs to mine it. Since then it's found solid footing in the AI field.
Today Feb. 21st Nvidia is expected to release earnings at end of day trading. So far the general markets seem to be feeling a little worried about it as the stock continues to sell off from yesterday.
As you can see the market sentiment so far on the stock is that it's going to come crashing down on the earnings report and many are saying the stock is in a bubble. Which It could be however you do have to factor in that NVidia is pretty much the center focus right now for AI which continues to get hyped up and is evolving at a very rapid rate which is causing tons of money to be thrown into it from every direction.
The Nvidia 5000 series is also not expected to be releases until the end of 2024 and it's already been slated as not being as much of a jump in quality from the 3000 to 4000 series show the the quality of the cards are starting to reach their max and become more stagnate which is what we saw with CPU chips for a while where more cores simply are added and higher throughput to be able to work with all of the cores but speed for the most part remained the same. This also comes with Intel's CPU releases which are slated for end of 2024 as well.
With AI being the front of everyone's mind right now and recent sentiment only increasing on it now with the release of sora we are seeing massive demand and potential again for AI when it felt like it was starting to get a little on the stagnate side of things.
The biggest plus here is that NVidia is the single biggest chip producer for this type of hardware that is needed for AI. In fact Intel once again finds itself falling behind but might be able to come on to the AI field here soon which would be a little competition into the mix. However AMD chips have always been better for this type of thing and is why people used it for Ethereum mining over Intel designers.
The next phase of this is crypto and a few blockchains are now using the AI those being primarily Ocean Protocol OCEAN and FetchAI FET.
Now while I don't know in particular what the two above AI tokens do exactly and after some research I'll most likely write up a more dedicated article to both of them it's pretty clear that they are both following the tract record of Nvidia so far.
I firmly believe this AI while of course has some fluff and hype around it is something that would be well worth someone's time to invest in understanding and seeing how these stocks and cryptos work. There could very well be massive potential between the two rolling forward.
