Render (RENDER), a decentralized graphics processing unit (GPU) platform that utilizes blockchain technology and is traded in the cryptocurrency markets through its token of the same name has seen remarkable growth in the last 7 days of trading

Indeed, the token, considered by many in the cryptocurrency community to be the ‘Nvidia of crypto,’ has benefited from a rise in investor interest as the ongoing artificial intelligence (AI) boom has invigorated demand for software and hardware powering the technology.

The last seven days have been particularly good for RENDER. After a lackluster month in the market that saw the token decline approximately 7%, it rose an impressive 43.68% to ensure that the Render price today stands at $6.27.

RENDER 7-day price chart. Source: CoinMarketCap

Additionally, having reclaimed the $6 level, RENDER is comfortably above the upper Bollinger Band ($5.894), which often signals overbought conditions. Still, the token is trading below its 200-day simple moving average (MA) and had only 13 green days out of the last 30.

These factors combined suggest a potential pullback or consolidation might be on the horizon, though the upcoming Nvidia (NASDAQ: NVDA) earning report means the rally will likely persist for some time, particularly should there be a breakout above the resistance level at $7.33.

Why is Render up 40% in a week?

A major reason for the rise is the upcoming Nvidia earnings report, which is expected to demonstrate the sector’s continued growth and, by extension, the continued demand for and utility of RENDER.

The analyst forecast for the August 28 report is that Nvidia will report earnings-per-share (EPS) of $0.59 – $0.01 above its second-quarter results – though the market expects the target will be beat.

Render will likely continue rising, potentially exploding in value upon the report’s release as the cryptocurrency performed in much the same way in March, around the NVIDIA GTC 2024 event. At the time, RENDER rapidly rose from about $7 to just above $13. 

The event also solidified the link between the semiconductor giant and the Render Network, as the latter’s Founder, Jules Urbach, was among the prominent speakers.

Still, it is worth pointing out that, should history at least partially repeat itself, investors seeking to take advantage of the phenomenon would be wise to keep a close eye on the price action. Render’s Nvidia event-related rally was as brief as it was massive, and, in fact, RENDER’s price today is below where it stood on March 1.

RENDER 12-month price chart. Source: CoinMarketCap

Additionally, RENDER is far from the only major AI cryptocurrency to benefit from the upcoming earnings, and all nine such coins and tokens that are among the biggest 100 have seen major upsides in the last seven days.

Still, betting on the strength of the upcoming report is not without risk. Should Nvidia fail to at least meet the earnings forecasts, it would indicate either stagnation or a decline – the company reported an EPS of $0.58 in the previous quarter – and could trigger a downward domino effect.

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.

The post AI token called ‘Nvidia of crypto’ soars 40% in a week appeared first on Finbold.

By

Leave a Reply

Your email address will not be published. Required fields are marked *