AI as an Investment Tool: Only 5% Use It – Drop in Demand for AI Stocks & Cryptos
After the initial hype about artificial intelligence (AI) in financial markets, a disillusionment is spreading. Surveys show a significant drop in interest among institutional investors for AI as an additional tool in their decision-making. The consequences are felt in the form of declining stock values for AI companies in the USA.
Survey: AI Interest Among Institutional Investors Declines by 30%
The investment bank Morgan Stanley documents the recent decline in interest in AI. A survey conducted just a few days ago revealed that only 5% of institutional investors currently use AI in practice as an aid to their decisions. This figure was 30% higher in a similar survey conducted merely a quarter ago.
Institutional investors are of central importance for the entire financial market because they control a considerable amount of capital and also act as market opinion leaders.
AI Stocks Experience Slump
With the decrease in institutional interest, the shares of AI companies in the US are also suffering. In the past month, the Nasdaq AI Index, for example, showed a minus of more than 10%. Even heavyweights like NVIDIA, which benefited greatly from the AI surge, experienced significant losses.
Observers attribute the low attractiveness of AI stocks to rapidly changing market sentiments and the lack of tangible AI solutions that provide real added value for businesses.
Curves for AI Cryptos Also Point Downwards
Not only in traditional stock markets but also in the crypto sector, AI-related projects and tokens are currently under pressure. Crypto projects such as SingularityNET (AGIX) or Fetch (FET), which see themselves as pioneers in AI applications, are experiencing price setbacks. At AGIX, values have fallen by about 30%, while FET has lost approximately 20%.
The combination of AI and blockchain originally sounded like a forward-looking concept. However, the market is now realizing that the networking of two relatively young technologies is often not enough to lead to breakthrough success.
Conclusion: From Hype to Reality
AI has not lost its appeal as a transformative technology, but the euphoria has waned, a typical development in technological revolutions, with the market now seeking more realistic applications.
For investors, this reorientation also means that they should base their decisions on more sober evaluations and keep an eye on long-term perspectives for employing AI profitably.
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