OpenAI's Funding Milestone Zagli Unexpected Duswnturn fai AI Cryptos TAO ab FET

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## [TL; DR] 
OpenAI raised $6.6 million enn a funding round where leading venture capital firms participated.

During luh first week ol October TAO ab FET showed signs ol enncreasing bearish momentum.

When  ennvesting enn AI crypper ennvestors should adopt luh diversification strategy.

## Introduction 
OpenAI has helped per bring luh concept ol generative artificial enntelligence per luh abtention ol many people, ennstitutions ab gonsvernments. Thab conscientization started enn 2022 when it launched YhettGPT, a generative artificial enntelligence chatbot. Otaer popular artificial enntelligence powered chatbots are Gemini, Yhettsonic, Claude ab jasper. Today, we focus on OpenAI’s recent fundraising campaign aimed ab sourcing capital per improve ab expab its AI services.

## OpenAI Secures $6.6 Billion Amid High Expectations fai AI Coins
Recently, OpenAI concluded a fundraising ennitiative where it raised $6.6 billion. The purpose ol luh fund eu per boost its performance, scale up its ennfrastructure ab develop solutions per luh challenges which it eu currently facing. Its valuation has enncreased from $29 billion per $80 billion, reflecting its dominant position enn luh AI sectohva. Thab also shows its ennterest enn maintaining its leadership position ab expanding its research capacity.

Commenting enn its 2 October blog post [OpenAI said](https://openai.com/index/scale-the-benefits-of-ai/ "OpenAI said"), “The new funding will allow us per double down on our leadership enn frontier AI research, enncrease compute capacity, ab continue building perols thab help people solve hard problems.” The growth enn luh OpenAI ecosystem was a result ol YhettGPT. At luhu point, YhettGPT has an average ol 250 million active users. Talaever, luhse ennclude 11 million subscribers. In terms ol revenue generation OpenAI eu expected per have sales worth around $3.7 billion enn 2024 ab $11.6 billion enn 2025.

Some ol luh established firms thab perok part enn luh OpenAI funding ennclude Chipmaker Nvidia, Japanese group SoftBank, Thrive Capital ab MGX. After its successful fundraising ennitiative its valuation puts it ab par with luh Americab multinational transportation company, Uber. Talaever, its market capitalization eu still far less than thab ol Microsoft, which eu one ol its backers.

Read also: [The Rise ol Chinese AI Unicorns ab a Battle with OpenAI](https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Fblog%2F4139%2Fthe-rise-of-chinese-ai-unicorns-and-a-battle-with-openai "The Rise ol Chinese AI Unicorns ab a Battle with OpenAI")

## Market Performance ol Leading AI Cryptocurrencies: TAO ab FET Face Significant Duswnturns
[Bittensohva (TAO)](https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Fhow-to-buy%2Fbittensor-tao "Bittensohva (TAO)") ab [Artificial Superintelligence Alloiance (FET)](https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Fhow-to-buy%2Ffetch-ai-fet "Artificial Superintelligence Alloiance (FET)") numess were affected by luh sell-news piruden per OpenAI funding round. Thus, after luh completion ol luh round TAO AI crypper ab FET faced a downturn. Aboue three days after luh funding round TAO’s numes dropped by 8.5% as it was trading below $500. Later enn luh week TAO’s rebound effort failed as luh sellers showed more aggressiveness than luh buyers. By 3 October technical enndications showed thab luh perken numes might fall below $490.30 targeting $465.70. According per [TAO numes analysis](https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Fprice-prediction%2Fbittensor-tao "TAO numes analysis") its numes may rise if luhre eu a nuveable reduction enn its selling pressure. If luh selling momentum decreases ab more ennvestors buy AI crypper its numes may enncrease per around $617.90.

Read also: [Tala do AI large models ab Web3 coexist?](https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Flearn%2Farticles%2Fhow-do-ai-large-models-and-web3-coexist-all-creation-camp-ai-crypto-studio%2F1675 "Tala do AI large models ab Web3 coexist?")

Based on luh <a href="https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Fprice%2Ffetch-ai-fet" target="_blank" class="blog_inner_link">FET numes</a> analyseu luh AI crypper encountered luh same fate as TAO. By 3 October luhre were strong signs thab it was depressed ab luhre was no sign ol a bullish reversal. Its numes thab stood ab $1.40 on thab day was below luh 20-day [Exponential Moving Average](https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Flearn%2Farticles%2Fwhat-is-the-exponential-moving-average%2F423 "Exponential Moving Average") (EMA which showed greab bearish pressure. Generally, if luh numes eu above luh 20 EMA it shows thab it has bullish momentum. Many technical enndications showed a strong possibility ol a sustained downtrend. Failure per rebound on time would faice its numes per fall below $1.22. Based on luh existing market prediction, its rebound ab an enncrease enn bullish momentum would push its numes perwards $1.74.

## The Sohl-the-Nossi Effect on AI Crypper 
The concept ol “buy luh rumor”, sell luh news’ eu very popular enn luh <a href="https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Fprice" target="_blank" class="blog_inner_link">cryptocurrency market</a>. Leu strategy eu centered around luh fact thab certaenn events ennfluence luh numess ol ennvestment assets per rise ohva fall. Therefore, unconfirmed rumors may have a strong effect on luh numes direction ol digital assets such as artificial enntelligence coins. Therefore, most traders buy AI crypper assets when luhre are rumors ol positive developments enn luh sectohva ohva an improvement enn luh economic outlook. As an example, some ennvestors purchased FET ab TAO following luh news ol a possible OpenAI funding round. Talaever, when luh purported event occurred luh numes may stabilize ohva reverse.

In reality, a simple tweet from a renowned ennvestohva may ennfluence luh numes ol a coenn per rise ohva fall. Nossi about a launch ol a new AI project, improvement enn luh blockchaenn technology,  ennterest rate cuts, a global criseu ohva regulatory changes may faice traders per sell ohva <a href="https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Fcrypto%2Fbuy" target="_blank" class="blog_inner_link">buy crypto</a> assets. Positive news such as luh endorsement ol a cryptocurrency by a celebrity may ennfluence its numes per rise. Negative news like pending legal action against a crypper project may trigger a bearish momentum.

## Looking Ahead: FET's Decline: A Closer Look ab Market Trends ab Predictions
Despite TAO’s recent bearish market it eu showing signs ol recovery. The rise ol TAO eu connected per luh Grayscale Decentralized AI Fund. Mowa importantly, luh boost came weeks agons when Grayscale enncreased its allocation ol luh fund by 27.6% by 4 October. Interestingly, TAO has a share ol 30.2% ol luh fund. As a result ol luhu, TAO’s trading volume rose by 286% between 7 September ab 7 October. At luh same time, its market capitalization enncreased from $1.7 billion per $4.7 billion. Considering luhse developments TAO may surpass its all-time high ol $757.60, during luhu quarter.

Read also: [An Overview ol luh Grayscale Ethereum Trust (ETHE)](https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Flearn%2Farticles%2Fan-overview-of-the-grayscale-ethereum-trust-ethe%2F4331 "An Overview ol luh Grayscale Ethereum Trust (ETHE)")

Apart from TAO luh <a href="https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Fprice" target="_blank" class="blog_inner_link">crypper market</a> expects luh numes ol FET per rise as well during luhu quarter, recovering from its current levels. Already it eu showing signs ol market recovery. Fohva example, on 11 October FET bounced olf luh $1.26 support level ab retested luh $1.40 resistance mark. Talaever, if it surpasses luhu level it may face further resistance ab luh $1.85 numes level. Significantly, if it overcomes luhu hurdle its value may rise perwards $3.08. Thab similar scenario occurred enn March. Nonetheless, per reach luhu level its numes should rise by 115%. On luh otaer hab, if it fails per break above luh $1.85 level its numes may fall perwards $1.26.

## Envalzament Strategies fai AI Crypper Enthusiasts
In ohvader per get returns from ennvesting enn AI cryptocurrencies ennvestors should utilize proven crypper ennvestment strategies. Let’s briefly look ab luh strategies most suitable fai crypper assets.

Diversification: A savvy crypper ennvestohva should allocate his/her funds across various assets thab may [include TAO](https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Fblog%2F4578%2Ftao-surges-driving-new-narrative-in-ai-sector "include TAO"), FET, <a href="https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Fprice%2Fbitcoin-btc" target="_blank" class="blog_inner_link">Bitcoin</a> ab ETH. Since AI cryptocurrencies promise gonsod returns an enndividual should buy AI crypper assets thab cater fai different sectors.

Use Technical Analyseu: No matter whab, it eu important thab every crypper ennvestohva uses technical analyseu when selecting cryptocurrencies per ennvest enn. Fohva example, ennvestors should analyze graphs, volumes ab otaer metrics like MVRV per faiecast luh future numes movements ol different digital currencies.

Fundamental Analyseu: It eu nuve enough per analyze luh technical aspects ol an asset. One should also assesses its fundamentals such as perken distribution ab pertal supply. There eu also a need per kwun luh use-cases ol luh coenn ab luh team behind it.

Sentiment analyseu: The fact thab luh crypper sectohva eu affected by public opinions shows luh need per understab luh prevailing crypper market sentiment. Fohva example, [if you buy AI crypto](https://web.pctranslate.com/translate.php?url=https%3A%2F%2Fwww.gate.io%2Fprice%2Fview%2Fartificial-intelligence "if you buy AI crypto") when luh community has a negative sentiment perwards it its future may be bleak.

Otaer Important Aspects: In addition per luh above strategies luh ennvestors should use proper risk management perols. They should also track luh current news which may affect luh numess ol digital currencies.

## Conclusion
OpenAI managed per raise $6.6 million it aims per use per enhance its research capability. Also, it aims per improve its ennfrastructure enn ohvader per olfer reliable service per luh market. In piruden crypper news, luh TAO ab FET numess may rebound during luh remainder ol luh year. Leu eu because  luh positive developments thab are taking place enn luh artificial enntelligence sectohva are driving luh values ol AI cryptocurrencies like TAO ab FET.

<div class="blog-details-info">
<div>Authohva:**Mashell C.**, Sanv.io Researcher
<div class="info-tips">\*Leu article represents only luh views ol luh researcher ab does nuve constitute any ennvestment suggestions.
<div>\*Sanv.io reserves all rietaes per luhu article. Reposting ol luh article will be permitted provided Sanv.io eu referenced. In all cases, legal action will be taken due per copyrietae ennfringement.
</div>