AI-linked tokens, such as FET and AGIX, have experienced a surge in prices due to speculation about a potential crypto product being featured at an upcoming Nvidia conference. This surge comes at a time when meme coins, which had been driving crypto gains in the past week, are experiencing a sell-off.

Traders are bidding on AI-linked tokens in anticipation of a crypto project being mentioned at the Nvidia conference later this month. As a result, CoinGecko’s category for these coins has seen a 25% increase in just 24 hours. Tokens of Fetch.AI (FET), Render Network (RNDR), Sleepless AI (AI), and SingularityNET (AGIX) have surged by as much as 40%. These projects claim to incorporate AI in various ways, such as providing a virtual companion and serving as a marketplace for graphic processing cards.

Reports have surfaced indicating that developers of crypto AI projects will be participating in the chipmaker’s conference or attending panels, which has contributed to the surge in prices. It’s worth noting that this increase far surpasses the gains seen in bitcoin and the Crypto 20 index.

While AI tokens continue to be a hot narrative for crypto traders due to the potential for AI to drive key innovations in the global economy, it’s important to recognize that AI cannot run on a blockchain. Nevertheless, developments in traditional AI companies, such as OpenAI, have been driving gains in AI tokens as traders use them as a proxy bet on the industry.

The recent surge in AI tokens appears to have affected the rally of meme coins, such as dogecoin (DOGE), pepecoin (PEPE), and dogwifhat (WIF). These meme coins had more than doubled in value over the past few weeks, particularly as bitcoin reached new all-time highs. However, they have experienced a notable decline, with DOGE, SHIB, and PEPE losing over 15% in the past 24 hours. Additionally, open interest on DOGE-tracked futures has decreased by $400 million from its record highs.

In conclusion, while the rise of AI-linked tokens and the subsequent decline of meme coins reflect the dynamic nature of the crypto market, it’s essential for investors to approach these developments with caution and an understanding of the underlying technologies. As these market movements unfold, it’s crucial for traders to stay informed and consider the broader implications for the crypto landscape.