The YieldMax NVDA Option Income Strategy ETF (NVDY) closed down 3.72% at $19.91 on January 29, as Nvidia's stock faced a significant decline of 2.56% to $125.69. Nvidia's drop was primarily driven by the impact of DeepSeek's new AI algorithm, which has raised concerns about the competitiveness of American AI firms. The introduction of this cost-effective AI model by the Chinese startup has led to a reevaluation of Nvidia's market position, causing its stock to test the 200-day moving average. Additionally, Alibaba's release of a new AI model further intensified fears of U.S. firms lagging behind in AI advancements. Despite a brief recovery on January 28, Nvidia's stock continued to struggle, reflecting broader market apprehensions about the future of AI investments.