The "Cryptos Week" is approaching! Three key bills are under review, will there be significant changes in the crypto space?
Is the 'Left and Right Cake' strategy effective? NVIDIA and Bitcoin have both reached new highs! AI & cryptocurrency are the two main investment themes for the future.
Overnight, global investors witnessed two significant milestones.
At the beginning of the U.S. stock market, $NVIDIA(NVDA.US)$ stock prices soared to an all-time high, becoming the first company in the world to exceed a market cap of 4 trillion USD. This strong momentum ignited market enthusiasm and drove the world's largest cryptocurrency—Bitcoin—to refresh its historical highs simultaneously.
In the investment circle, the strategy of 'left hand holding NVIDIA, right hand holding Bitcoin' has become popular, pursuing high-risk, high-return growth.
In fact, in the new investment world of 'the back waves pushing the front waves,' AI and cryptocurrency seem to have become the two main lines pursued by investors. The logic behind the recent breakthroughs of these two main lines will be analyzed one by one.
AI—The Fourth Industrial Revolution
This round of NVIDIA continues to create history and has also surpassed the 4 trillion USD market cap, while $Broadcom(AVGO.US)$ 、 $Taiwan Semiconductor(TSM.US)$ It also continues to reach new highs.
The recent surge in NVIDIA's stock price is attributed to commitments from major clients like Microsoft, Meta, Amazon, and Google regarding AI spending, indicating that market demand for NVIDIA's computing systems remains strong.
Bloomberg's summary of average Analyst forecasts shows that these four giants expect approximately $350 billion in capital expenditures over the next few fiscal years, exceeding this fiscal year's $310 billion. Market research firm IDC predicts that by 2028, total global spending on AI infrastructure will surpass $200 billion.
For ASIC chip providers, the surge in AI chips will attract new entrants while also significantly expanding the market.
Recently, investment bank Bernstein's Analysts summarized a roadmap for AI chip technology transformation through 2027, analyzing four areas: design architecture, wafer nodes, HBM, and advanced packaging, and discussed the potential impacts.
The progress of Technology giants' ASICs is expected to explode next year. With NVIDIA's GB300 and Rubin, next year will be a year of "significantly exceeding expectations" for capital expenditures from all major Technology giants.
Bernstein believes that AI chips will accelerate development, especially since NVIDIA has accelerated the iteration speed to "one update per year."
The technical roadmap shows that NVIDIA has undergone significant changes from Blackwell to Rubin, including architecture, nodes, HBM, and packaging, all changing in about a year — nodes from N4 to N3, HBM from 3E to 4, and packaging size from smaller (a single CoWoS wafer accommodating 16 B100/B200) to larger (a single CoWoS wafer accommodating a high single-digit to 10 Rubins).
It is noteworthy that as AI gradually permeates daily life, the AI industry chain will usher in a golden era.
Previous article"Could AI Trigger the Fourth Industrial Revolution? Wall Street Shouts: These 6 Major Industries and 30 Stocks Are Full of Potential!"It was pointed out that Wedbush analysts believe the AI revolution will continue for several more years, representing the largest technological transformation in 40 years.
This analyst highlighted 30 tech companies and stated that these companies will become long-term winners in six areas: hyperscale computing, software, consumer Internet, cybersecurity, autonomous driving, Robotics, and semiconductors and hardware.
In these areas, semiconductor and hardware manufacturers are seen as the "shovels of AI infrastructure," while NVIDIA is viewed as one of the main beneficiaries of AI. In addition, $Advanced Micro Devices(AMD.US)$ 、 $Taiwan Semiconductor(TSM.US)$ 、 $Micron Technology(MU.US)$ It was also stated that TSMC, as the world's leading foundry, will benefit from the growth of global AI investments.
The Analyst disclosed that currently over 15% of cloud services have integrated AI features, and related capital expenditures are expected to exceed 325 billion USD in 2025, a year-on-year surge of 40%—"As the data center construction wave progresses, this AI arms race has just begun." Currently, $Microsoft(MSFT.US)$ is the leader, but $Alphabet-C(GOOG.US)$ 、 $Amazon(AMZN.US)$ 、 $Oracle(ORCL.US)$ is closely following.
As AI applications deepen in the consumer field, the consumer Internet industry will also benefit from it. Ives is particularly optimistic. $Apple(AAPL.US)$ He estimates that a quarter of the global population will be exposed to AI through Apple devices in the future, and he also believes. $Meta Platforms (META.US)$ Still maintains strong demand. In the Chinese market, he mentioned. $Alibaba (BABA.US)$ and $Baidu(BIDU.US)$ He believes that Alibaba could become a winner in the AI race in China, while Baidu is also a major player with potential.
Autonomous technology and Robotics also have a broad outlook, with the global market size expected to reach $3.22 trillion by 2033 (annual compound growth rate of 36%). $Tesla(TSLA.US)$ The robotics taxi and nuclear energy startup. $Oklo Inc (OKLO.US)$ Both have been selected.
With the development of technology, the importance of cybersecurity is becoming increasingly evident. Ives recommended. $Zscaler (ZS.US)$ 、 $Palo Alto Networks (PANW.US)$ and $CyberArk (CYBR.US)$ And companies like it are investment choices in the field of cybersecurity.
In the software field, Ives predicts that by 2028 there will be 1 billion applications integrating generative AI, and points out that 'The era of AI application software has begun.' The winners he mentioned include $Palantir (PLTR.US)$ 、 $Salesforce(CRM.US)$ 、 $IBM Corp (IBM.US)$ 、 $ServiceNow (NOW.US)$ 、 $Snowflake (SNOW.US)$ 、 $Adobe (ADBE.US)$ 、 $Pegasystems (PEGA.US)$ 、 $MongoDB (MDB.US)$、 $C3.ai (AI.US)$、 $Elastic (ESTC.US)$、 $Innodata (INOD.US)$、 $SoundHound AI (SOUN.US)$ And companies.
Cryptos - Opening a New Era in the Financial Market
Currently, Bitcoin is benefiting from two dimensions: it has gained a status as a safe-haven asset similar to Gold, and it is experiencing momentum due to an increase in risk appetite.
Analysts believe that the demand for traditional financial instruments such as ETFs is reshaping the dynamics of the Bitcoin market. Unlike previous phases that mainly relied on individual investors, the current uptrend is characterized by a structural influx of Institutional funds.
Data from crypto trading company GSR shows that Institutional investors are continuously buying Bitcoin through various financial instruments, and this demand pattern is more stable compared to the speculative buying seen in history.
The market generally believes that the current rise in Bitcoin, apart from the large influx of traditional Institutions, has also been fueled by the Bullish aspects of the U.S. GENIUS Act.
PreviouslyThe "Cryptocurrency Week" is approaching! Will there be significant changes in the cryptocurrency space as three key bills are reviewed?It was previously noted that the United States House of Representatives has declared the week of July 14 as "Cryptocurrency Week," during which the "CLARITY Act," "GENIUS Act," and "Anti-CBDC Act" will be reviewed, marking a critical moment for the cryptocurrency industry.
Market news suggests that the progress of each proposed bill may trigger volatility in Cryptos such as Bitcoin and Ethereum. In addition to Cryptos, related concept stocks and ETFs in the Hong Kong and U.S. stock markets may also experience a correlation effect:
Among them, the most notable is the first publicly listed stablecoin—— $Circle (CRCL.US)$ , which is currently the second-largest stablecoin issuer in the world, with a market cap of approximately 61.7 billion USD for its USDC, accounting for about 25% of the U.S. dollar stablecoin market, only second to Tether's USDT.
Recently, the company has been active, announcing collaboration with OKX, which is expected to enhance the accessibility of USDC in key markets and improve the liquidity of global stablecoins. The strategic cooperation between Circle and OKX aims to promote the adoption of Cryptos by improving trading infrastructure and expanding the ecosystem.
Today, Bloomberg reported that ANT GROUP CO., LTD. is expected to add Circle's stablecoin to its global platform.
JPMorgan indicated that USDC is the "most compliant" stablecoin, fully complying with the EU MiCA regulatory requirements and expected to meet the forthcoming US stablecoin regulations.
Internationalization also provides Circle with vast growth opportunities. In high-inflation countries like Argentina and Turkey, USDC is increasingly being used as a value storage tool. JPMorgan estimates that the total M2 money supply of the nine largest high-inflation countries globally is 1.4 trillion USD, and for every 1 percentage point increase in USDC penetration, the circulation will increase by approximately 14 billion USD.
Cryptocurrency Exchanges to pay attention to $Coinbase (COIN.US)$ 、 $Robinhood (HOOD.US)$ , Hong Kong stocks can focus on $OSL Group (00863.HK)$ 。
As the largest cryptocurrency Exchange in the United States, $Coinbase (COIN.US)$ Wall Street's major firms describe it as "the most misunderstood and undervalued company among cryptocurrency investment assets," and "the Amazon of the crypto industry."
Investment bank The Benchmark Company stated that, against the backdrop of increasingly clear regulation of stablecoins, both Coinbase and Circle are likely to benefit, but Coinbase's profit model has more diverse potential. If the CLARITY Act promoted by the Trump administration is passed later, Coinbase will benefit even more.
Additionally, $Robinhood (HOOD.US)$ Recently, it has captured a lot of market attention. Although it faced backlash from OpenAI regarding tokenization and regulatory investigations, tokenization has become a trend. Robinhood CEO Vlad Tenev stated that the company has received numerous inquiries from private enterprises wishing to allow individual investors to invest in their equity through blockchain tokens on the platform.
Overall, Robinhood's issuance of stock tokens is triggering a comprehensive fintech revolution from entry to payment, from clearing to settlement.
In addition, in the Hong Kong stock market, stablecoin concept stocks continue to heat up, such as GUOTAI JUNAN I, OSL Group, and others are recently favored by the market, mooers can continue to pay attention to this investment theme.
