Artificial intelligence-linked crypto tokens have experienced a significant decline over the past 24 hours, coinciding with a notable surge in Nvidia's (NVDA) share price, which jumped over 7% on May 28. However, according to a prominent crypto trader, this downturn in AI tokens is not expected to persist.

“NVDA surging, AI coins quiet now but don’t expect that to last,” wrote trader Matthew Hyland in a May 28 post on X (formerly Twitter).

Nvidia, a leading producer of computer chips essential for running AI models, is seen by crypto traders as a barometer for AI tokens' market movements. The company's stock performance often influences market sentiment towards AI-linked cryptocurrencies.

Nvidia's stock has soared by 22% over the past five trading days, closing at a record high of $1,140 on May 28. This remarkable rise contributes to its year-to-date growth of nearly 137%, according to Google Finance. The surge is bolstered by Nvidia’s strong first-quarter revenue, which increased by 18% from Q4 2023 and 262% year-over-year, reaching $26 billion and surpassing analyst estimates by about 5.6%.

In contrast, several leading AI crypto tokens have not mirrored Nvidia’s uptrend. Over the past week, Render (RNDR), Fetch.ai (FET), and SingularityNET (AGIX) have dropped by 8.14%, 11.39%, and 11.19%, respectively, according to CoinMarketCap.

Despite the current downward trend, some crypto traders anticipate a potential rebound in AI tokens. Pseudonymous crypto trader Triplexx suggested that a downturn in Nvidia’s stock could trigger a broader tech market sell-off, potentially impacting the sentiment in the crypto market. “The moment NVDA starts to sell off it will take all the other mega-cap tech names with it at least for a couple [of] days,” Triplexx posted on May 28. “Then whatever the sentiment in crypto is, it will pull crypto with it no matter what. Be prepared.”

Investment strategist Lyn Alden highlighted Nvidia’s impressive performance, noting on May 25 that Nvidia is one of the few stocks that have outperformed Bitcoin over the past decade. Additionally, The Kobeissi Letter pointed out that a $10,000 investment in Nvidia in 1999 would be worth $25.3 million as of May 24.

However, not everyone in the crypto community believes Nvidia will continue to outpace Bitcoin. Cory Klippsten, CEO of Swan Bitcoin, expressed skepticism, stating, “Near zero chance of Nvidia outperforming Bitcoin over the next 10 years.”

As the market closely watches Nvidia's movements, the future trajectory of AI-linked crypto tokens remains a subject of speculation and debate among traders and investors.