Nvidia stock gains 1.1% after Jim Cramer backs AI surge
Loop Capital recently raised its price target on Nvidia to $250
As of July 9, Nvidia stock is trading at $160, up 1.1% in the last 24 hours.
The stock continues its remarkable rally, having climbed nearly 80% from its April 2025 lows, underpinned by explosive demand for AI infrastructure and consistent bullish sentiment.
Highlights
- Nvidia is trading at $160, up 1.1%, following strong support from AI market demand and positive analyst sentiment.
- Technical indicators suggest a potential breakout toward $205, with key support at $150.
- Jim Cramer’s endorsement and Nvidia’s leadership in AI chips continue to drive investor confidence.
Currently, the 50-day simple moving average (SMA) sits just below the 200-day SMA, and a bullish golden cross is imminent. This formation typically suggests the beginning of a longer-term uptrend and could trigger a wave of momentum buying once confirmed. Moreover, Nvidia is comfortably trading above both averages, highlighting strong bullish conviction among institutional and retail investors.
The Relative Strength Index (RSI) has remained above 70 for several sessions, indicating overbought conditions. While this might suggest a short-term pullback is possible, it also reflects the strength of current buying pressure. Investors should monitor this indicator closely, especially if Nvidia approaches key resistance levels.
Nvidia stock price dynamics (May 2025 - July 2025). Source: TradingView
Support is well-established at $150, a level that previously acted as resistance and has now potentially flipped to a new floor. Below that, $130 offers secondary support in the event of a sharp correction. On the upside, the next major resistance is projected around $205, based on Fibonacci extensions and recent bar pattern analysis. If Nvidia maintains its current trajectory, this level could be tested by the end of July.
AI and data center growth propel Nvidia to top-tier valuation
Nvidia’s fundamentals continue to justify its valuation, with the company recently reaching a market capitalization of nearly $3.77 trillion. For a brief period in June, it overtook Microsoft to become the most valuable public company in the world. This growth is largely attributed to the company’s commanding position in AI chip manufacturing and data center infrastructure.
Jim Cramer of CNBC recently highlighted Nvidia’s expansion beyond the $4 trillion mark as not only possible but probable. In his July 8 segment, Cramer emphasized that Nvidia is no longer just a chipmaker—it is now an AI ecosystem enabler. CEO Jensen Huang has positioned the company as a key supplier in a world that increasingly relies on generative AI, robotics, and machine learning applications. Huang’s vision includes expanding Nvidia’s reach into software, simulation, and full-stack AI solutions.
Market analysts have responded accordingly. Loop Capital recently raised its price target on Nvidia to $250, citing the sustained demand for AI infrastructure and its continued dominance in the GPU space. Even with competition intensifying from AMD and Intel, Nvidia’s product cycle, supported by the Blackwell architecture, gives it a significant technological edge through at least the end of 2025.
Target of $205 in July with risk-managed downside
With technical indicators, trend strength, and market sentiment all aligning, Nvidia is well-positioned to continue climbing in the near term. A bullish breakout and consistent buying volume point to a short-term price target of $205. This level corresponds with resistance projected from historical price extensions and aligns with broader bullish consensus across Wall Street.
However, caution is advised should the stock slip below $150, a critical support level. A break below this could prompt a retracement to $130, where the next layer of institutional support is likely to be found. Given the overbought RSI, short-term corrections are not out of the question, but the larger trend remains firmly upward.
Investor enthusiasm for AI remains strong, creating a favorable backdrop for Nvidia’s ongoing rally. The company’s leadership is underscored by the sellout of its 2025 Blackwell chip production and the high-profile launch of its RTX 50 series GPUs.
