Bitget App
Trade smarter
MarketsTradeFuturesEarnSquareMore
ARK Supports Nvidia's Dominance in AI Despite Concerns of a Market Bubble

ARK Supports Nvidia's Dominance in AI Despite Concerns of a Market Bubble

Bitget-RWA2025/11/21 12:56
By:Bitget-RWA

- ARK Invest re-allocates $17M to Nvidia , betting on AI-driven growth amid crypto-linked equity purchases during a market slump. - Nvidia reports $57B revenue, exceeding forecasts by $2.1B, with $500B Blackwell/Rubin order backlog and 73.6% gross margin. - $15B Nvidia-Microsoft Anthropic deal intensifies generative AI competition, while analysts raise $250-$272 price targets for AI infrastructure leadership. - Market anxieties persist over AI sustainability: 61% Q3 revenue from four clients, AI "bubble" f

Cathie Wood's

Invest has restarted its investments in , directing $17 million toward the chip giant as part of a larger plan to benefit from the surge in artificial intelligence. This decision coincides with ARK of crypto-related stocks, such as BitMine and Bullish, during a market slump. The company's latest trading activity shows strong faith in Nvidia's leadership in AI hardware, even as investor concerns about the longevity of the AI surge grow .

ARK Supports Nvidia's Dominance in AI Despite Concerns of a Market Bubble image 0
has highlighted its crucial role, with revenue reaching $57 billion—$2.1 billion above Wall Street’s projections—driven by high demand for its Blackwell and Spectrum-X chips. CEO Jensen Huang pointed to "off-the-charts" Blackwell sales and fully booked cloud GPU supplies, while CFO Colette Kress mentioned that even six-year-old A100 GPUs are still in full use . These achievements sparked a brief 5% surge in shares after earnings, before broader market concerns caused a pullback .

The earnings release also disclosed a $500 billion backlog for Blackwell and Rubin chip orders through 2026,

at the forefront of the AI industrial era. This momentum has drawn major collaborations, including a $15 billion investment from Nvidia and Microsoft in AI firm Anthropic, . The partnership, part of a $30 billion deal to bring Anthropic’s models to Microsoft’s Azure cloud, signals heightened rivalry in the generative AI market .

Analysts remain cautiously optimistic.

with a $272 price target, highlighting Nvidia’s dominance in AI infrastructure and its two-year product cycle approach. Stifel increased its target to $250, pointing to the company’s $500 billion in total orders for Blackwell and Rubin platforms . Still, doubts persist about whether the rapid growth of AI can be financially sustained, their Nvidia holdings.

The mixed market response to Nvidia’s results reflects wider uncertainty. The company’s gross margin of 73.6% and adjusted net income of $32 billion impressed investors

, but worries about a potential AI "bubble" resurfaced as shares swung from a 5% gain to a 3% drop within hours . These concerns are heightened by Nvidia’s revenue concentration—four clients made up 61% of Q3 sales —and ongoing questions about when investments in AI infrastructure will start to pay off .

ARK’s renewed emphasis on Nvidia fits with its broader commitment to AI’s long-term promise. The firm has also invested $46 million in Circle and increased its stake in

treasury company BitMine, wagering on the strength of crypto despite a $1 trillion downturn in digital assets . Wood’s approach reflects a belief that market volatility creates opportunities to invest in transformative technologies, even as economic and regulatory challenges remain.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

You may also like

XRP News Today: XRP Declines as ETF Investments Unable to Halt Downward Momentum

- XRP fell below $2.00 as macroeconomic uncertainty and ETF inflows failed to reverse its bearish trend despite $105M in Bitwise ETF inflows. - Futures Open Interest dropped to $3.57B, whale sales of 200M XRP, and institutional outflows accelerated the decline below key technical levels. - Technical indicators show RSI at 43 and negative MACD, with analysts warning of potential 50% declines to $1.25 if $2.00 support breaks. - The SEC-approved Bitwise 10 Crypto Index ETF (4.97% XRP allocation) may reshape d

Bitget-RWA2025/11/21 14:36
XRP News Today: XRP Declines as ETF Investments Unable to Halt Downward Momentum

Data Shortfalls and Policy Conflicts Prevent Fed from Lowering Rates in December

- The Fed’s December rate cut prospects have dimmed, with officials citing data gaps and inflation concerns, reducing the CME FedWatch probability to 32%. - Delayed BLS labor market reports left policymakers without critical metrics, fueling skepticism about justifying a cut amid internal divisions. - Officials like Christopher Waller argue for easing due to a "stall speed" labor market, while Lorie Logan and Beth Hammack caution against premature cuts risking inflation and market instability. - Markets ha

Bitget-RWA2025/11/21 14:36
Data Shortfalls and Policy Conflicts Prevent Fed from Lowering Rates in December

Bitcoin News Update: US Investigates Whether Bitmain Devices Pose Threat to Power Grid, Raising Concerns Over Espionage

- U.S. government investigates Bitmain's mining hardware over espionage risks, led by DHS with agencies like FCC and NSC. - Senate Intelligence Committee warns Bitmain's devices near military sites could be remotely manipulated from China, linking them to CCP ties. - Bitmain denies allegations but faces scrutiny after Trump family's $314M purchase of 16,000 machines raised conflict-of-interest concerns. - Investigation highlights broader U.S. fears about China's crypto dominance, following Wyoming mining f

Bitget-RWA2025/11/21 14:36
Bitcoin News Update: US Investigates Whether Bitmain Devices Pose Threat to Power Grid, Raising Concerns Over Espionage

Bitcoin Updates: Bitcoin Drops 25% While ETFs Remain Stable, Underscoring Confidence from Institutions

- Bitcoin fell to $82,605 in Nov 2025, mirroring FTX-era losses with STHs holding 2.8M BTC at a loss. - ETF assets remain stable despite 25% price drop, showing institutional confidence amid retail distress. - Market corrections erased $120B in value, pushing total crypto cap below $2.8T as analysts warn of further declines. - Weak U.S. employment data and fading Fed rate cut hopes exacerbate fears of a potential $75K price target.

Bitget-RWA2025/11/21 14:16
Bitcoin Updates: Bitcoin Drops 25% While ETFs Remain Stable, Underscoring Confidence from Institutions