Nvidia surprised markets by posting fiscal third-quarter revenue of $57.01 billion, beating Wall Street estimates by almost $2 billion.
Meanwhile, Bitcoin rebounded above $91,000 after briefly dipping below $89,000, as analysts attributed much of the crypto market’s decline to growing concerns about a potential AI bubble.
Nvidia Smashes Wall Street Targets During Volatility
The chip giant reported $1.30 earnings per share and revenue of $57.01 billion for its fiscal third quarter, outperforming estimates of $1.26 EPS and $55.2 billion in revenue. Its data center business, which enables AI applications, contributed $51.2 billion—showing a sharp rise from previous periods.
CEO Jensen Huang noted ongoing strong demand for the company’s Blackwell chip architecture and cloud GPUs, reporting that products remain sold out. Nvidia’s forward guidance was also robust, with projected fiscal fourth-quarter revenue of $65 billion—beating analyst forecasts of $62 billion.
CFO Colette Kress pointed to another driver behind the firm’s results: CUDA-powered accelerators are extending hardware lifespans, boosting customer value, and solidifying Nvidia’s competitive edge in AI infrastructure. While the gaming unit drew $4.3 billion in revenue—slightly under expectations—it still delivered solid returns.
Nvidia’s market value recently surpassed $5 trillion, reinforcing its status as the world’s most valuable company. The stock has climbed 37% year-to-date and 25% over the last 12 months. Shares surged 5% following the earnings report, while chipmakers like AMD and Micron also rode the AI wave.
Bitcoin Rebounds as AI Investment Sentiment Returns
Bitcoin recovered on Thursday morning in Asia, jumping above $91,000 after testing lows below $89,000. The quick rebound implies some investors view current prices as entry opportunities despite uncertainty.
Major investors have recently shown caution toward AI stocks. Peter Thiel exited a $100 million stake in Nvidia. SoftBank sold about $5.8 billion in shares. These moves sparked debate over whether AI-driven rallies can last.
Regulators have also flagged risks. The Bank of England warned of systemic threats from widespread AI use in finance. The IMF cited bubble risks in its global stability assessments.
A Bank of America survey found 45% of fund managers see an AI bubble as the most significant market threat. Google CEO Sundar Pichai and JP Morgan’s Daniel Pinto warned of “irrationality”. Klarna’s CEO expressed concern over massive data center investments driven by AI demand.
However, Nvidia’s Q3 results revived AI investment sentiment. Nvidia defended its business model during its earnings call, while the data center’s accounting methods had been questioned. The strong results proved AI demand remains robust despite skepticism. Bitcoin prices also appeared to benefit from the renewed optimism.
Risk Correlations Deepen Across Crypto and Equities
Recent market turmoil has shown an increased correlation between cryptocurrencies and traditional risk assets. Bitcoin’s decline has mirrored declines across major stock indices such as the S&P 500, Nikkei 225, Hang Seng, and Stoxx Europe 600. Crypto-linked stocks are now more often seen as closely tied to the global risk environment.
Gold, usually considered a haven, also fell amid uncertainty. Rising US interest rates and reduced hopes for near-term Federal Reserve rate cuts have pressured both gold and cryptocurrencies. The global crypto market lost over $1 trillion in value over the last six weeks, losing a quarter of its value since October.
Technical outlooks on Bitcoin remain split. Some analysts interpret current trading as re-accumulation—long-term investors buying at lower prices. Others argue that buyer fatigue signals a possible deeper correction ahead.
Nvidia’s robust results offer some reassurance to investors amid concerns about a bubble. However, whether this can restore wider market confidence or prove to be an outlier remains uncertain as investors navigate complex signals around technology valuations and the economic outlook.
