Altcoins under $0.40 like REZ, AI16Z, and RED are showing increased activity amid Bitcoin’s projected climb to $150,000.
On-chain analytics indicate growing developer participation and wallet activity around these projects, despite low market capitalizations.
Sector diversity — from restaking to AI to oracle services — highlights how innovation is driving investor attention toward niche, undervalued tokens.
With Bitcoin's long-term target inching closer to the $150,000 mark, investors and analysts are turning attention toward undervalued altcoins priced below $0.40. Among them, three tokens — Renzo (REZ), ai16z (AI16Z), and Redstone (RED) — have entered the spotlight due to their increasing market activity, strong developmental strides, and notable investor engagement. These altcoins have demonstrated a blend of speculative potential and technological progression, positioning them as key candidates in the mid-cycle narrative.
Renzo (REZ): A Strategic Restaking Protocol in Ethereum’s Expanding Infrastructure
Renzo (REZ) has become a significant player within the Ethereum liquid restaking ecosystem, particularly due to its link with EigenLayer. The project enables users to restake ETH and LSTs (liquid staking tokens) to secure various decentralized services. Recent data shows REZ has gained traction among developers and investors aiming to optimize yield and network security.
Over the last four weeks, the token has seen notable wallet growth, exceeding a 15% rise in unique holders. Renzo’s importance in Ethereum’s modular design strategy is underscored by its utility in middleware security, specifically in oracle services, bridges, and data availability layers. Despite price volatility, its role in a high-demand sector suggests potential long-term utility. However, analysts caution that protocol risks — especially around slashing — may hinder mainstream adoption until further safeguards are introduced.
ai16z (AI16Z): Emerging AI-Powered Interoperability Token Making Quiet Progress
ai16z (AI16Z) is a low-priced token associated with decentralized artificial intelligence execution across blockchain networks. Though still in its early phases, AI16Z aims to build AI services accessible through decentralized computation frameworks, an area that continues to draw institutional interest. The token has remained under $0.30 yet has recently experienced a surge in volume, up 19% in the last week.
Developers working with AI16Z are focusing on bridging data-sharing gaps between AI models and public blockchains. This includes privacy-preserving model training, zero-knowledge verification layers, and cross-chain model deployment. Recent GitHub activity shows a 12.7% uptick in developer commits since early July. While the token’s circulating supply remains unclear, the underlying infrastructure has attracted attention for its innovative approach to AI integration, a field still largely experimental in Web3.
Redstone (RED): A High-Throughput Oracle System Offering Modular Data Feeds
Redstone (RED) continues to gain relevance for its work in decentralized oracle architecture. The protocol focuses on delivering off-chain data feeds using a modular system that optimizes performance for both Layer 1 and Layer 2 blockchains. Unlike monolithic oracles, Redstone enables projects to define their own data-fetching and validation processes, creating flexibility for developers in DeFi, GameFi, and RWAs.
Recent metrics highlight that Redstone has one of the fastest oracle response times in the industry, along with reduced gas usage for contract interactions. Its deployment on multiple EVM-compatible chains has also accelerated, with more than 30 protocols now integrated. Although priced below $0.40, RED has demonstrated substantial growth in adoption, suggesting rising demand for cost-efficient, scalable data oracles. It remains a token to watch as oracles continue to play a vital role in blockchain-based automation.
