Nvidia Crash Leads to Heavy Sell-Off in AI Crypto Projects: What’s Next?
The post Nvidia Crash Leads to Heavy Sell-Off in AI Crypto Projects: What’s Next? appeared first on Coinpedia Fintech News
The crypto market continued with initial bearish sentiments on Tuesday during the New York session, which extended today during the early Asian session. The total crypto market slipped 6 percent in the past 24 hours to hover about $2.07 trillion at the time of this writing.
Although the altcoin industry has closely followed Bitcoin (BTC) price action, new developments largely reflected yesterday’s poor crypto performance.
Nvidia Loss Reflected in Other Markets
Just in:
The DOJ has officially sent Nvidia $NVDA a subpoena regarding its antitrust investigation
The stock was down over -9% on the day and Bloomberg decided to drop this bombshell story today 24 min after market
somebody had to know pic.twitter.com/cSVdXXQ41h
— Nancy Pelosi Stock Tracker
(@PelosiTracker_) September 3, 2024
A report by media outlet Bloomberg indicated that AI heavyweight Nvidia is under the regulatory radar for possible antitrust violations. Reportedly, the United States Department of Justice (DOJ) sent a subpoena regarding Nvidia’s antitrust violations.
As a result, Nvidia’s stock closed Wednesday trading at $108, down 9.53 percent from the day’s opening price. The Nvidia choppy market continued during the after-hours session, thus resulting in a net loss of nearly $279 billion.
The notable losses in Nvidia trickled down to other markets including Asia’s Nikkei 225 which had plunged 4 percent in the past 24 hours.
AI-related Crypto Projects Heavily Impacted
The notable dip in major stock markets, amid heightened fears of further decline in choppy September, impacted the entire crypto industry.
However, the AI-related crypto projects – led by Bittensor (TAO), Artificial Superintelligence Alliance (FET), Render (RENDER), and The Graph (GRT), among others – were heavily weighed down by Nvidia’s recent losses.
According to the latest data, the AI-related crypto market cap dropped 7.4 percent in the past 24 hours to hover at about $20.6 billion at the time of this writing and a daily average traded volume of around $$1 billion.
