• The market sector of AI crypto is on the rise with the top 30 tokens all in the green over the last 30 days.
• This trend has been fueled by significant investments from companies such as Microsoft and Alphabet Inc.
• Despite this renewed interest, institutional investors remain skeptical of crypto, with many citing that they have no plans to trade it.
AI Crypto Market Sector Sizzles
The market sector of AI crypto continues to sizzle, with the top 30 tokens all in the green over the last 30 days, a trend that has left many investors wondering: how frothy can this top possibly get? AI cryptos are up over 51% over the past week, with a total sector market cap of $3.85 billion (Source: CryptoSlate).
Investment Boosts From Microsoft and Alphabet Inc.
The news comes on the heels of the widely successful launch of ChatGPT, backed to the tune of $10 billion by Microsoft (a significant portion of which comes in the form of cloud computing credits via Microsoft’s Azure cloud platform); as well as a renewed push by Alphabet Inc. (Google’s parent company), who late last week reportedly committed to also invest at least $400 million in a ChatGPT rival, Anthropic. ChatGPT is already upending many workflows and industries. It was the quickest app to achieve 1 million downloads, a feat it achieved only five days after launch last December. It has also been integrated into Microsoft Teams, allowing for powerful virtual agent and office assistant capabilities.
Institutional Investor Skepticism Remains
Despite this renewed interest from large players in technology industry however, institutional investors remain skeptical about crypto investing; with nearly three out four respondents from JP Morgan’s survey saying that they „have no plans to trade crypto“.
What Explains The Price Increase?
So what explains then recent rise in price for AI cryptos? While some point to factors such Cathie Wood’s ARK Invest report citing confluence between AI and blockchain technologies; others look more closely at underlying technologies like decentralized data protocols and human-robot interaction systems driving much of their development and adoption.
Conclusion
In conclusion, while there remains skepticism among institutional investors towards trading cryptos; recent development within both artificial intelligence technology and blockchain have pushed prices up significantly within AI cryptos space; leaving many wondering where this sector will go next!
