The inventory of the giant Nvidia (NVDA) in chip manufacturing is flashing major bear signals. When this pattern last appeared, it retreated by nearly 50%. This could raise questions in the AI Crypto sector. This seemed to respond at times to Nvidia’s prices.
“NVDA formed the first death cross since April 2022. The last one won 47% over the next six months,” Markets Data Platform Barchart said on the X Post on March 23. The Cross of Death is a bearish signal that occurs when the simple 50-day moving average (SMA) of the market price of an asset falls below the 200-day SMA.
Source: BarChart
Nvidia’s stock formed a bear signal before the trading week ended on March 21, but several crypto AI tokens have risen since. According to CoinMarketCap data, rendering has increased by 4.06%, while Bittensor (TAO) and the artificial super intelligence alliance (FET) both have increased by about 2.88%.
Nvidia is a stock that has been closely monitored recently for AI Crypto traders. Some crypto analysts link the surge in AI Crypto tokens to NVDA’s performance, but sometimes there was no clear correlation, such as the rallies that were nearly 70% more than NVIDIA’s second quarter revenue in 2024.
After Nvidia’s first quarter 2024 revenue rose 18% from the 2023 quarter, some AI token traders appear to be disappointed that the strong results did not lead to similar movements in AI Crypto token prices.
Nvidia’s stock price has fallen 9.66% over the past month. Source: Google Finance
Some crypto traders have recently suggested that bubbles have burst, and only AI tokens with real utilities will flourish. “The whole AI hype has already disappeared. Now is the time for those who provide market solutions and earn revenue,” Crypto Trader Cryptocosta said in the X-Post on March 22nd.
Over the past month alone, the market capitalization of Top AI and Big Data Crypto tokens has declined by 23.70%.
The sector’s biggest token is the market capitalization near the Protocol (nearby), which has retreated almost 59% over the past 12 months, and is currently trading at $2.70.
Nearby, it is trading for $2.70 at the time of publication. Source: CoinMarketCap
However, a recent survey has shown that almost half of Crypto critics are bullish than the price of Crypto AI tokens.
Of the 2,632 respondents surveyed by Coingecko between February and March, 25% were “completely bullish” and 19.3% were “somewhat bullish” in 2025 for Crypto AI tokens.
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Approximately 29% of respondents were neutral about the subjects, while a total of 26.3% were somewhat bearish or bearish.
Meanwhile, former Binance CEO Changpeng “CZ” Zhao recently said, “While Crypto is the currency of AI, not every agent needs its own token.”
“An agent can receive fees with existing crypto to provide services. They only launch coins if they have scales. They focus on utilities rather than tokens,” he said.
In February, Sygnum said in an investment report that AI agents have gained “surprising traction” up until now, but “had a hard time proving their worth beyond speculation.”
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