RNDR, the utility token of decentralized rendering service Render Network, rose in sync with tech stocks in May, bucking a lull in the overall crypto market.
RNDR rose 6.5% to $2.55, according to TradingView data. It hit a 13-month high of $2.93 earlier this month. Wall Street’s tech index, the Nasdaq, is up nearly 8%. Meanwhile, Bitcoin (BTC) diverged from the Nasdaq and fell 5%, while the market cap of all crypto assets fell 3.5%.
“RNDR has been highly aligned with the Nasdaq over the past few weeks,” said Lewis Harland, portfolio manager at Decentral Park Capital, in a May 26 Market Update. He pointed to the story as a factor in the rally in both tech stocks and the RNDR.
RNDR, Nasdaq, daily chart of all crypto assets market capitalization (TradingView/CoinDesk)
A week ago, American chip maker Nvidia predicted a surge in revenue while meeting surging demand for its artificial intelligence (AI) chips used to power ChatGPT and similar services. He said he was increasing supply.
Since then, investors have scrambled to increase their exposure to NVIDIA stock and AI storytelling assets like Render’s RNDR.
“RNDR stands out because it brings together important stories such as its integration with the Apple ecosystem, its involvement in the Metaverse, its integration with artificial intelligence, and its 3D rendering capabilities,” said Crypto Fundamentals analyst. List’s Jason Choi said in the May 22 research newsletter Blockcrunch VIP.
“With the expected surge in demand for GPU computing power in areas such as games, metaverse development, architecture, animation, product design, augmented reality (AR), and most recently AI tools, RNDR is commonly used to create 3D graphics. It could replace the expensive computing equipment you need,” Choi added.
RNDR also benefits from speculation that Apple’s virtual reality headset will utilize Render Network’s distributed graphics processing network.
June 5th mark your calendar! $rndr & #apple set to make history
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