Render investors and traders continue to sell off, following the bearish stance of the broader market. After weeks of sustained bullish action, CoinGecko Data shows that the market has fallen by several percent, which translates into losses in the altcoin market.
While the environment has brought gains for many tokens, it has dragged several tokens, such as Render, to the ground. The latest market data shows the latter is down in almost all time frames, with the biggest loss in a monthly time frame at nearly 25%. This raises an vital question for investors and traders as to whether Render will continue its downward trend.
Large things are coming for Render
NVIDIA CEO and co-founder Jensen Huang recently spoke at SIGGRAPH 2024 about the impact accelerated computing and generative AI will have on various industries. He also briefly touched on the company’s leap into computer graphics, saying it was “the best decision” the company has made.
Like NVIDIA, Render’s structure as a provider of decentralized graphics and compute resources puts the platform in a unique position in the AI world. Asked about the AI revolution that began in 2022, Huang said:
“[And] It’s a truly revolutionary time that we live in. Almost every industry is going to be affected by this, based on some of the examples I’ve already given you.”
This just goes to show how the broader industry is turning to support AI development, which is a bullish sign for investors in Render, as the latter company’s nature as a provider of compute resources makes it valuable to the AI space.
The key moment of today #SIGGRAPH2024 Fireside Meeting with Jensen Huang and Lauren Goode:
Q. Where is the line between AI assisting and helping? [artists] and this replaces certain things we do?https://t.co/muYWEq586d
A. “These tools support us be more productive.…
— Render Network (@rendernetwork) July 30, 2024
Customary financial institutions are seeing the potential at the intersection of AI and cryptocurrencies. Asset management firm Grayscale shot its first decentralized AI fund earlier this month, with holdings including RENDER, TAO, FIL, LPT and NEAR.
Render offers valuable resources to anyone who needs computing power. Its market position remains secure despite facing a significant downturn this month.
Are we facing even more bear pressure?
In the current situation, the token’s position is quite shaky as this could cause its price to fall lower, in line with the general trend observed since May.
If the downtrend continues, bears could push the cryptocurrency back to January 2024 levels, wiping out the token’s year-to-date gains. So, bulls should consolidate and take control of the $6 support before attempting any upside.
But the token’s volatility could work in the bull’s favor. The current market environment is still mostly bullish, mainly due to the fact that major cryptocurrencies are on a rally, pulling the market higher.
This greedy sentiment counteracts the bearish bias of the current market correction, placing more emphasis on long-term gains than short-term or medium-term gains. Investors and traders should therefore monitor the market for long-term opportunities that will support the altcoin movement.
Featured image from Pexels, chart from TradingView
