Crypto Cools Off as Nvidia’s $5.5bn Bombshell Rattles Risk Assets
By Manoj Dharra
1) Nvidia Shockwaves Hit Crypto
2) Altcoins Struggle While Mantra Rises
3) Rise of Corporate Bitcoin Adoption
Nvidia shares plummeted as much as 8% after the U.S. banned its H20 chip sales to China, impacting equities and the crypto market.
Bitcoin, the leading cryptocurrency by market value, fell to $83,500, extending the retreat from the two-week high of $86,440 reached earlier in the day. Whereas, Ethereum was changing hands at $1570, down by 4%.
Payments-focused XRP followed a similar trajectory, falling over 2% to $2.08, while Cardano’s ADA token slipped 4% to $0.61.
AI Coins like NEAR, ICP, TAO, RENDER, FIL, continued to fare worse as shares in NVDA tanked 8% to $89.10 after the company disclosed in a regulatory filing that it expects to write down $5.5 billion in the fiscal first quarter due to the new restrictions on exports of its H20 chip to China.
Mantra OM Token Price Rises 26% After CEO Plans Token Burn
Fintech commercial real estate platform Janover purchased another 80,567 Solana (SOL) tokens, bringing total holdings to 163,651 as part of a new treasury strategy. The company is the first publicly-traded U.S. firm to focus its treasury strategy on Solana’s cryptocurrency. Janover’s stock price has surged over 1,700% since its crypto pivot.
Value Creation, a Tokyo-listed logistics and tech firm, expects to add $700,000 worth of bitcoin to its balance sheet over the next four months. This firm had previously purchased about $1.4 million worth of bitcoin.
Brazilian fintech firm Meliuz has floated a plan to expand its Bitcoin holdings and make the cryptocurrency a strategic asset on the company’s books. Meliuz purchased Bitcoin for the first time in March after its board of directors approved using up to 10% of the company’s cash for Bitcoin, purchasing 45 BTC for about $4.1 million.
Medical device firm Semler Scientific has lost on its Bitcoin investments but has proposed a $500 million securities sale which would partly fund more buys.
Strive Asset Management CEO Matt Cole has urged fintech firm Intuit to add Bitcoin to its balance sheet in an April 14 open letter after successfully convincing game retailer GameStop to buy the cryptocurrency for its books.
Reuters reports local governments in China are using private companies to sell seized crypto, going against the country’s trading ban. China holds an estimated 194,000 BTC worth approximately $16 billion and is the second largest nation Bitcoin holder behind the US, according to Bitbo.
Stablecoin Market Could Grow to $2T by End-2028: Standard Chartered. The passage of the Genius Act in the U.S. could lead to a massive jump in stablecoin supply, Standard Chartered said.
Supreme Court Dismisses WazirX users petition As soon as the Wazirx users petition was presented before the bench of Justice BR Gavai and Justice Augustine Masih, it was dismissed by the court, on grounds of policies related to cryptocurrencies in India. The Supreme Court observed that they are in no mood to entertain the plea by WazirX users.
Outlook
The market awaits the U.S. retail sales report for March later today and Federal Reserve Chairman Jerome Powell’s speech for further economic insights.
A better-than-expected report will likely help assuage recession fears triggered by President Donald Trump’s trade war with China and other trading partners.
However, there is a risk that markets will dismiss it as backward-looking, failing to account for the major escalation in trade tensions seen this month.
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