Altcoin
Crypto Analyst Shares Top AI Altcoin Investments This Month
In an analysis of the current landscape on the nexus between AI and altcoins, crypto analyst Prithvir (@Prithvir12) recently shared insights via X highlighting both opportunities and pitfalls in the AI coin market this month. His analysis covers future AI catalysts, their impact on specific tokens and personal investment recommendations, shedding light on the nuanced strategies required in this volatile segment.
An in-depth look at the AI-powered cryptocurrency market
Prithvir highlights a number of significant events in the AI space that are expected to directly impact cryptocurrency markets. First, he references NVIDIA’s earnings announcement scheduled for May 22, highlighting NVIDIA’s key role in AI technology, which could have cascading effects on AI-focused cryptocurrencies.
Further agitating the market is the buzz around OpenAI’s GPT-4oT. Additionally, Prithvir discusses the influence of major technology conferences focused on AI advances, particularly Google’s I/O conference and Apple’s emphasis on AI in its upcoming Worldwide Developers Conference (WWDC). He predicts that these events are poised to usher in new AI initiatives that could impact cryptocurrency markets.
In his post, Prithvir also analyzes different tokens that responded differently to these AI catalysts. He describes WLD, associated with OpenAI through Sam Altman, seeing a 20% price drop last week, a typical “sell the news” reaction after the GPT-4o announcement. He expresses concern about The “ridiculous tokenomics” of WLD and the risks posed by potential coordinated short squeezes, advising traders to approach with caution.
Prithvir also touches on OLAS, which, despite having lost some visibility since its peak in 2023, remains active on the Gnosis chain and could be poised for a return depending on market conditions and developments within its platform, according to the analyst.
The SPEC token, however, has shown significant volatility, rocketing from $5 to $15 before retreating to $8 in a matter of two weeks. Prithvir criticizes its high fully diluted valuation (FDV) of close to $1 billion, warning of the speculative nature and inherent risks of engaging with such a volatile asset.
Finally he turns to group of ASI tokens FET, AGIX and OCEAN, representing the Super Intelligence Alliance, point out that their once-leading positions in AI-driven market rallies have diminished. According to Prithvir, these tokens are currently overvalued, with limited upside potential, indicating a saturated market state for these assets.
Prithvir’s Top Altcoin Picks
Navigating through the intricacies of the AI coin market, Prithvir shares his favorite investment strategies and picks. Highlight Rendering (RNDR) as a favorable pick, especially given NVIDIA’s earnings and Apple’s WWDC, due to its direct ties to their technologies and expected feature improvements that could increase its value.
“NVIDIA because of the comparisons between the GPU networks and Apple because of the rendering software that they created that Apple always presents in different keynotes. So, I think this could be a good swing trade ahead of the WWDC time frame – 3 weeks,” the analyst said.
AR is the “largest AI coin currently held by Prithvir”. The project was praised by him for its pivot on AI features with AO Computer and a robust team. AR’s presence on Tier-1 exchanges and its substantial backing make it a “no-brainer” for a medium-term hold.
It also mentions NEAR, albeit with less investment impact due to limited perceived upside. “Smaller position than AR due to more limited upside. But it could become one of the most popular AI exchanges this cycle thanks to brand value, good liquidity and innovations in other sectors like Chain Abstraction,” Prithvir wrote via X.
At the time of writing, RNDR was trading at $10.1089.
Featured image from Shutterstock, chart from TradingView.com