The Nvidia Corp earnings in August triggered a short-term spike in buying pressure that pushed AI-based cryptocurrencies like Fetch (FET) and Render (RENDR) to push higher. However, market analysts warn that these tokens’ prices could drop significantly due to mounting concerns over semiconductor stocks impacting AI-related assets.
This Semiconductor Stock Signals Why Fetch & Render Could Crash Soon
Despite the recent crypto market rally, investors can expect these RENDER and FET prices to crash due to mounting concerns over semiconductor stocks impacting AI-related assets. Semiconductor stocks show a bearish head-and-shoulders pattern, signaling a potential market downturn. This technical formation suggests prices may fall further after breaking critical support levels. The SOXX Index ETF is closely watched, with $200 being a key level to monitor.
A crash in semiconductor stocks could severely disrupt chip production and technology investments. Reduced investor confidence might lead to cutbacks in chip manufacturing, affecting innovation. Key sectors like Artificial intelligence and machine learning, which rely on advanced chips, may face delays.
This is from a recent Factor Update to members https://t.co/IymAxVkFnz pic.twitter.com/0Dy3AyUWWb
— Peter Brandt (@PeterLBrandt) September 9, 2024
This disruption could ripple through top AI tokens like Fetch (FET) and Render, leading to price declines. These tokens depend on advancements in AI and computing power, which could be hampered. As investor interest in tech wanes, both tokens may experience reduced demand and falling prices.
Fetch (FET) & Render (RENDR) Surge Amid Bullish Signals
The Fetch.AI price has seen a significant upturn over the past 24 hours, surging by 14.09% to a current value of $1.30. This upward trend is depicted in the price chart, which shows a sharp increase from earlier lows of around $1.13.
The Moving Average Convergence Divergence (MACD) indicator on Fetch.AI shows signs of bullish momentum. The MACD line (blue) has crossed above the signal line (orange), confirming a bullish crossover.
Over the past 24 hours, the Render price experienced a notable increase, rising by 6.10% to reach $5.22. This surge pushed its market capitalization to over $2 billion, marking a gain of 6.08%. Trading volume also saw a significant jump, up 67.82%, indicating a heightened interest in the cryptocurrency.
The Relative Strength Index (RSI), a key metric used to gauge market sentiment, has ascended into bullish territory, currently at 64.
Despite recent bullish momentum in Fetch and Render, the potential downturn in semiconductor stocks poses significant risks. A decline in chip production could weaken AI advancements, leading to reduced demand and falling prices for these tokens.
Frequently Asked Questions (FAQs)
A downturn in semiconductor stocks could disrupt AI advancements, reducing demand for tokens like FET and RNDR that rely on computing power.
AI advancements depend on semiconductor chips for computing power. If chip production slows, AI development could stall, impacting FET and RNDR demand.
A crash could disrupt chip production and investment in technology, delaying progress in AI and machine learning sectors.
Coingape Staff
CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Source: https://coingape.com/markets/why-fetch-fet-render-render-price-could-crash-soon/
✓ Share: