Nvidia briefly reached a market capitalization of $1 trillion due to high demand for artificial intelligence (AI) technology, making it one of only four companies in the United States to achieve this milestone.

Nvidia's market cap reached $1 trillion as the market opened, with a share price of $406, marking a 183% increase year-to-date. Prior to the market opening, the company's market cap was at $963 billion, already placing it among the top ten assets in the world by market cap. Meanwhile, Bitcoin currently holds twelfth place with a market cap of $541 billion. CryptoSlate's latest market report examines the history of US debt and the potential impact of a default on the crypto market.

Cathie Wood, the manager of the ARK Innovation ETF, has justified her fund's exit from Nvidia earlier this year, stating that the chipmaker has been priced "ahead of the curve". Nvidia's stock has more than doubled since ARKK exited in January 2023, and is now trading at 25 times the estimated sales for the current financial year. However, some analysts believe that the outlook for chips isn't quite picking up yet amid tepid demand for consumer electronics. Nvidia's co-founder, Jensen Huang, recently unveiled a number of AI products at the Computex trade show, including an AI supercomputer platform called DGX GH200.

Taiwan's MediaTek has teamed up with US chip giant Nvidia to bring enhanced AI technology to automobiles. The partnership aims to improve in-car experiences with software-defined, smart cabin solutions using Nvidia's GPU chiplets. The collaboration will offer a unique platform for the compute-intensive, software-defined vehicle of the future. The end feature will raise the bar in automobile in-car user experience by combining Nvidia's GPUs and AI technology with MediaTek's chipsets. The automotive AI offering would belong to the MediaTek Dimensity Auto range.

Nvidia CEO Jensen Huang announced the development of the DGX GH200 supercomputer at the Computex expo in Taiwan. The supercomputer is designed to assist companies in creating generative AI models, which is a growing trend in the industry. The DGX GH200 is expected to be completed by the end of the year and features an NVLink Switch System that allows 256 GH200 Grace Hopper Superhips to work together as a single graphics processing unit, delivering 1 exaflop performance and 144 terabytes of shared memory. The DGX GH200 has caught the attention of major tech companies like Meta, Microsoft, and Google Cloud, who are expected to be early adopters of the solution.

NVIDIA's stock has hit a record high due to strong earnings and the potential of AI. However, some investors are concerned about its high price-earnings ratio and other metrics. Other tech stocks, including Amazon, Apple, Google, Meta, Microsoft, and Tesla, have also seen gains, but not to the same extent as NVIDIA. The AI-driven trend has led to a lopsided market, with these seven stocks gaining significantly more than the other 493 in the S&P 500.

Nvidia CEO Jensen Huang announced several developments during his first public speech in four years at Computex in Taipei. These included the GForce RTX 4080 Ti GPU for gamers, the Avatar Cloud Engine for Games, and the HGX H100 GPU server.

The S&P 500 and Nasdaq Composite have both seen gains in 2021, with the S&P up over 9% and the Nasdaq up 25% year to date. However, these gains are largely driven by just seven tech companies: Alphabet, Amazon, Apple, Meta, Microsoft, Tesla, and Nvidia, which have collectively seen a 46% increase in value since the start of the year. In contrast, the combined market cap of the other 493 stocks in the S&P 500 index has decreased by 3%. Nvidia has had an exceptional year, with a 158% increase in value and one of the largest single-day market cap gains in US stock market history on May 25th.

Bitcoin maintained its stability around $26.5K despite positive job and productivity data, while Ethereum's price remained steady just above $1,800. The US economy grew by 1.3% in the third quarter, but equity markets remained stagnant, with major cryptos showing mixed results. Nvidia's focus has shifted to AI as its revenue from GPUs for gamers has been declining rapidly. The debt limit of Bitcoin is currently in a holding pattern, and crypto investors are closely monitoring negotiations about the US debt ceiling.

On Thursday, despite unexpectedly strong unemployment and GDP data in the US, crypto investors remained focused on debt ceiling negotiations, with bitcoin hovering just below $26,500. The ongoing debt limit stalemate in the US has caused uncertainty for investors, leading to a lack of crypto-specific catalysts and a range-bound market.