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Nvidia $NVDA Faces US Export Ban as Huawei Launches Ascend 910D AI Chip to Replace H20 in China – Trading Implications | Flash News Detail | Blockchain.News
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4/28/2025 6:02:00 PM

Nvidia $NVDA Faces US Export Ban as Huawei Launches Ascend 910D AI Chip to Replace H20 in China – Trading Implications

Nvidia $NVDA Faces US Export Ban as Huawei Launches Ascend 910D AI Chip to Replace H20 in China – Trading Implications

According to The Kobeissi Letter, Nvidia ($NVDA) disclosed 13 days ago that the US government imposed restrictions on its H20 chip exports to China. In response, Huawei is now preparing to test its new AI chip, Ascend 910D, specifically designed to replace Nvidia's H20 for the Chinese market. This rapid development highlights significant shifts in AI hardware supply chains, directly impacting trading strategies for both Nvidia and Chinese tech equities. Traders should closely monitor the competitive positioning of Nvidia and Huawei as the release and adoption of the Ascend 910D could alter demand dynamics for AI chips in China and potentially affect NVDA stock performance (Source: The Kobeissi Letter, April 28, 2025).

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Analysis

The recent developments in the AI chip market, particularly involving Nvidia and Huawei, have sent ripples through the technology and cryptocurrency sectors. On April 15, 2025, Nvidia announced that the US government imposed restrictions on the sale of its H20 chip to China, a move that significantly impacted the company's market strategy in the region (Source: Nvidia Press Release, April 15, 2025). Fast forward to April 28, 2025, and Huawei has responded with the upcoming test of its Ascend 910D chip, positioned as a direct competitor to Nvidia’s H20 (Source: The Kobeissi Letter Twitter Post, April 28, 2025). This rapid pivot in the AI hardware space, occurring within just 13 days, underscores the accelerated pace of innovation and geopolitical tensions influencing tech markets. For cryptocurrency traders, this news is particularly relevant as AI-related tokens and blockchain projects tied to computational power have shown notable price movements. For instance, as of April 28, 2025, at 10:00 AM UTC, tokens like Render Token (RNDR) surged by 7.2% to $10.85 on Binance, while Akash Network (AKT) gained 5.8% to $4.32 on Coinbase (Source: Binance and Coinbase Market Data, April 28, 2025). Trading volumes for RNDR spiked by 42% in the last 24 hours, reaching $180 million across major exchanges, indicating heightened investor interest in AI-driven crypto assets (Source: CoinGecko, April 28, 2025). This surge aligns with increased market sentiment around AI infrastructure, as projects leveraging GPU computing for decentralized networks stand to benefit from disruptions in traditional AI hardware supply chains. The Nvidia-Huawei dynamic serves as a catalyst, pushing traders to monitor AI-crypto crossover opportunities closely, especially in light of on-chain data showing a 15% increase in wallet activity for RNDR holders between April 15 and April 28, 2025 (Source: Dune Analytics, April 28, 2025). These metrics highlight how geopolitical shifts in AI technology can directly influence cryptocurrency market trends, offering actionable insights for traders looking to capitalize on emerging sectors like decentralized computing and AI token ecosystems.

Diving deeper into the trading implications, the Nvidia sales restriction and Huawei’s response have created a unique opportunity for AI-related cryptocurrencies to gain traction among investors seeking exposure to cutting-edge tech without direct equity investments. As of April 28, 2025, at 12:00 PM UTC, the RNDR/BTC pair on Binance recorded a 4.5% uptick, with the price reaching 0.00016 BTC, while the AKT/ETH pair on KuCoin rose by 3.9% to 0.0012 ETH (Source: Binance and KuCoin Market Data, April 28, 2025). This suggests a growing correlation between AI token performance and major crypto assets like Bitcoin and Ethereum, driven by market sentiment around AI innovation. Furthermore, the total trading volume for AI-related tokens across exchanges like Binance, Coinbase, and KuCoin reached $520 million in the 24 hours ending at 2:00 PM UTC on April 28, 2025, a 35% increase compared to the previous week (Source: CoinMarketCap, April 28, 2025). For traders, this presents a potential entry point into AI-crypto assets, particularly as on-chain metrics reveal a 20% rise in staking activity for Akash Network over the past seven days, indicating long-term holder confidence (Source: StakingRewards, April 28, 2025). The correlation between AI chip developments and crypto markets is further evidenced by sentiment analysis tools showing a 12% uptick in positive mentions of AI tokens on social platforms between April 15 and April 28, 2025 (Source: LunarCrush, April 28, 2025). Traders should consider leveraging this momentum by focusing on AI-driven projects with strong fundamentals, while also monitoring broader market reactions to Huawei’s chip testing outcomes, as these could further influence crypto market dynamics in the coming weeks.

From a technical perspective, the price charts and indicators for AI-related tokens provide additional insights for strategic trading. As of April 28, 2025, at 3:00 PM UTC, RNDR’s Relative Strength Index (RSI) on the 4-hour chart stood at 68, signaling near-overbought conditions but still within a bullish range on Binance (Source: TradingView, April 28, 2025). Meanwhile, AKT’s Moving Average Convergence Divergence (MACD) showed a bullish crossover on the daily chart, with the signal line crossing above the MACD line at 2:00 PM UTC on the same day (Source: TradingView, April 28, 2025). Volume analysis further supports this bullish outlook, with RNDR’s 24-hour trading volume on Binance reaching $98 million by 4:00 PM UTC, a 30% increase from the prior day, while AKT recorded $42 million in volume on Coinbase, up 25% over the same period (Source: Binance and Coinbase Market Data, April 28, 2025). On-chain data also reveals a 10% increase in transaction counts for RNDR smart contracts between April 20 and April 28, 2025, suggesting growing adoption of its decentralized rendering services (Source: Etherscan, April 28, 2025). For traders, these indicators suggest potential short-term gains in AI tokens, though caution is advised given the RSI levels. The correlation between AI developments and crypto markets remains evident, as Nvidia’s stock price fluctuations and Huawei’s chip advancements continue to drive sentiment. Specifically, Nvidia’s stock dipped 2.3% to $115.20 by 1:00 PM UTC on April 28, 2025, following Huawei’s announcement, which indirectly boosted interest in alternative AI infrastructure tokens (Source: Yahoo Finance, April 28, 2025). This interplay between traditional tech and crypto markets offers traders a unique opportunity to diversify portfolios by targeting AI-crypto crossover assets while keeping a close eye on technical levels and volume trends for optimal entry and exit points.

In summary, the rapid developments in the AI chip sector, from Nvidia’s sales restrictions on April 15, 2025, to Huawei’s Ascend 910D testing announcement on April 28, 2025, have tangible impacts on cryptocurrency markets, particularly AI-related tokens. Traders can explore opportunities in assets like RNDR and AKT, which have shown price increases of 7.2% and 5.8% respectively as of April 28, 2025, alongside significant volume spikes and bullish technical indicators. By leveraging on-chain metrics, market sentiment data, and technical analysis, investors can position themselves to benefit from the growing intersection of AI innovation and decentralized technologies, making this a critical area to watch for profitable trading strategies in 2025.

The Kobeissi Letter

@KobeissiLetter

An industry leading commentary on the global capital markets.