Nvidia’s stock ($NVDA) jumped above $190 in overnight trading after announcing a massive $20 billion licensing deal with Groq, an AI chip startup. This major partnership, revealed on December 26, 2025, highlights Nvidia’s strong grip on the AI hardware market and is expected to influence both tech stocks and AI-related cryptocurrencies.

This deal allows Groq to use Nvidia’s powerful GPU technology to improve its AI chips, which are designed to make AI models run faster and more efficiently. The market reacted quickly—$NVDA surged past $190 after hours, showing investor confidence. If this momentum continues, the stock could test the $200 resistance level. Key support is around $180, giving traders clear entry and exit points.

The impact goes beyond traditional stocks. Nvidia’s GPUs have long been used in crypto mining, especially before Ethereum moved to proof-of-stake. Now, as AI and blockchain converge, crypto tokens linked to AI like Fetch.ai (FET) and Render (RNDR) are gaining attention. For example, FET is currently trading near $1.50 with daily volume over $200 million, up 5% in the last 24 hours. If FET breaks above $1.60, it could signal more upside potential tied to Nvidia’s success.

The ripple effect can also be seen in larger cryptocurrencies. Bitcoin (BTC) was trading around $95,000 on December 26, 2025, up 2%, and Ethereum (ETH) hit about $4,200, gaining 3%. These moves suggest that AI stock rallies like Nvidia’s can lift the entire crypto market. Traders may find opportunities by comparing movements in $NVDA with BTC or ETH futures. Ethereum gas fees also spiked 10%, pointing to more blockchain activity possibly driven by AI contracts.

This Nvidia-Groq partnership might encourage institutional investors to look at AI-focused crypto projects. SingularityNET (AGIX), another AI token, saw its trading volume grow 4% to $150 million recently. Such trends show how traditional finance and crypto are becoming more connected.

From a strategy standpoint, traders should watch broader tech indexes like the Nasdaq-100, which rose 1.5% in overnight trading. This supports a bullish view for tech and crypto alike. RNDR/BTC trading pairs are showing a 7% premium, hinting at growing investor interest. Still, volatility is something to keep in mind—$NVDA’s implied volatility rose 8% after the announcement. Using stop-loss orders around 5% below your buy price is a smart risk control measure.

In summary, Nvidia’s $20 billion deal with Groq is a major event for both the tech and crypto markets. It boosts Nvidia’s stock and opens up trading opportunities in AI-related tokens like FET, RNDR, and AGIX. Crypto traders should also monitor Bitcoin and Ethereum for potential price moves that align with tech stock trends. With careful planning and attention to market signals, this could be a great moment to profit from the growing connection between AI and blockchain.