Trump Allows NVIDIA H200 Chip Sales to China; AI Rally Could Boost Crypto
Former U.S. President Donald Trump has authorized NVIDIA to resume shipments of its negotiated H200 AI chips to approved Chinese customers, reversing earlier restrictions. As part of the arrangement, 25% of proceeds from these sales will be directed to the U.S. government; Blackwell chips remain excluded. The decision follows lobbying by chipmakers, including private meetings with Trump and concessions such as share transfers and revenue-sharing pledges. The move eases U.S.–China tech tensions and restores sales for major suppliers previously at risk of billions in lost revenue. Markets are watching for a broader AI-driven rally — Trump signaled an upcoming announcement affecting AI companies — and analysts note that renewed enthusiasm for AI and tech stocks can spill over into risk assets like cryptocurrencies. Traders should note the potential for heightened volatility and correlated upside in crypto if an AI-fueled FOMO (fear of missing out) materializes. Disclosure: this article is not investment advice.
Bullish
Allowing NVIDIA to resume H200 sales to China reduces revenue uncertainty for major chipmakers and eases a key geopolitical risk for technology supply chains. The deal — including a 25% proceeds arrangement — signals a compromise that can lift AI sector sentiment. Historically, major positive catalysts in the tech/AI space (e.g., regulatory relaxations, product approvals, large commercial deals) have triggered rallies in tech equities that often spill over into crypto markets, which tend to amplify risk-on moves. Short-term: expect increased volatility and potential upside in both AI and crypto as traders chase FOMO-driven flows and reprice growth expectations. Watch volume spikes, correlation between NASDAQ/AI leaders and major cryptocurrencies (BTC, ETH), and on-chain metrics such as inflows to exchanges and stablecoin minting for liquidity signals. Long-term: sustained chip sales and healthier earnings for NVIDIA/peers could support broader tech investment and infrastructure for AI applications, indirectly benefiting blockchain projects tied to AI or developer ecosystems. Risks remain — policy reversals, export controls on other products, or a burst of the AI hype cycle could quickly reverse gains — so traders should use risk management (position sizing, stop losses) and monitor macro indicators (rates, PMI, US-China diplomatic developments).