AI tokens TAO, FET, AI16Z surge despite NVIDIA excluding crypto-related projects from its Inception program

• Artificial Intelligence tokens, including TAO and FET, are consolidating gains on Friday.
• NVIDIA explicitly excludes crypto-related companies from applying for its startup Inception program.
• NVIDIA’s Inception is designed to boost startups’ technical innovation and business growth at all stages.

Artificial Intelligence (AI) tokens, including Bittensor (TAO) and Artificial Superintelligence Alliance (FET), climbed this week, with ai16z (AI16Z) still extending gains at the time of writing on Friday. The uptick in prices of AI tokens reflects a broader bullish sentiment across the cryptocurrency market. At the same time, it highlights the sector’s resilience following NVIDIA, the world’s largest AI computing company, excluding crypto-related companies from its startup-focused Inception program.

NVIDIA Inception program excludes crypto-related companies 

The INVIDIA Inception program is designed to help startups accelerate technical innovation and achieve business growth at all stages. According to the website, Inception is free and accessible to NVIDIA’s global community members. Successful candidates benefit from the company and its partners across various disciplines, including training for AI developers, technical tools and specialized pricing on NVIDIA hardware and software. Startups also benefit from opportunities to connect with the AI computing giant’s network of venture capital firms.

However, according to the minimum requirements list, NVIDIA will not accept applications from “companies associated with cryptocurrency.” Other startups that do not qualify for membership include consulting and outsourced development firms, cloud service providers, distributors and resellers, as well as public companies.

To qualify for the Inception program, startups must employ at least one developer, maintain an active website, be lawfully registered and be no older than ten years.

NVIDIA appears to be deliberately keeping crypto-related companies at arm’s length, as Arbitrum, the layer-2 protocol nurturing decentralized AI platforms, said in a recent statement that its dream of becoming the official Ethereum partner for the chipmaker’s Ignition AI Accelerator program had been shattered.

Meanwhile, AI tokens in the crypto market continue to uphold gains, with some coins, like ai16z, reaching higher levels on Friday. Crypto projects in the AI sector boast nearly $25 billion in market capitalization. 

Near Protocol (NEAR) is the largest AI token, with a market share of $3.1 billion. Bittensor takes second place, with a market capitalization slightly above $3 billion, ahead of Internet Computer (ICP), valued at $2.8 billion, according to CoinGecko.

Bittensor price stalls amid overbought conditions 

Bittensor’s price rally this week mirrored Bitcoin’s surge above $94,000. TAO reclaimed support at $350 before topping out at around $368, which is its weekly high. The AI token hovers at $357 at the time of writing, while bulls strive to breach resistance at $361, as highlighted by the 200-day Exponential Moving Average (EMA).

TAO/USDT daily chart

The Relative Strength Index (RSI) indicator’s overbought position at 73.79 shows signs of consolidation. If the indicator drops below 70.00 and enters the neutral zone, Bittensor could start losing ground, signaling a fading bullish momentum. Key downside levels for traders in the coming sessions include the 100-day EMA at $319 and the 50-day EMA at $281.

FET price holds between two critical levels 

FET’s price is up nearly 100% from its lowest daily close this month of $0.38, tagged on April 8. The bullish wave over the last few weeks lifted the AI token to $0.71, a level marked by the 100-day EMA. However, due to a drop in volume and waning conviction among traders, FET has retraced and is currently trading at $0.69 at the time of writing. 

FET/USDT daily chart

A daily close above the 100-day EMA could boost bullish morale, with upside targets at $0.78 (an August support turned into resistance), the 200-day EMA at $0.93 and the next hurdle at $1.13. If the ongoing reversal gains traction, traders would look for support at the 50-day EMA ($0.56) and at $0.38, FET’s monthly low.

AI16Z price jumps, testing $0.26 resistance 

The AI16Z price hovers near $0.25 at the time of writing, having increased nearly 30% on the day. Growing sentiment around AI-focused tokens could be fuelling the strong bullish outlook, which tagged weekly highs at $0.2586 for the first time since early March.

AI16Z/USDT 4-hour chart

The 4-hour 50 EMA’s crossing above the 100-day EMA on Wednesday points to strong bullish momentum and the potential to extend gains above $0.30. However, AI16Z’s overbought conditions, as indicated by the RSI indicator at 84.70, suggest the possibility of the trend reversing in the coming sessions. 

Therefore, traders should prepare for risks associated with profit-taking and consider tentative support areas at the $0.20 round level, the 200 EMA at $0.17, and the 100 EMA at $0.15.