After a period of correction, the cryptocurrency market is recovering strongly, led by Bitcoin. However, what surprises many investors is the resurgence of tokens related to artificial intelligence (AI) – a group that caused a 'frenzy' earlier this year. With an increase of more than 40% in just one week, could AI coins be starting a new growth cycle?
AI coin accelerates – Led by VIRTUAL and AI16Z
According to data from CoinGecko, many tokens in the AI sector have increased by more than 40% in the past week, despite there being no clear stimulating factors other than the general recovery of Bitcoin.
The two strongest representatives are:
VIRTUAL (token of Virtuals Protocol, a platform for issuing AI agents): increased by 123%, reaching 1.43 USD.
AI16Z (token of Eliza OS, decentralized AI agent protocol): increased by 89%, reaching 0.298 USD.
Despite strong growth, both are still far from their previous highs:
VIRTUAL is down 71% from ATH 5.07 USD
AI16Z is down 87% from ATH 2.47 USD
Nevertheless, the recovery has created a chain reaction, doubling the total market capitalization of AI agents in just three weeks.
The AI market is booming – Total market capitalization near 26 billion USD
According to the Cookie.fun platform, as of early April, the total market capitalization of AI agents was only about 4.5 billion USD. But now, this figure has surpassed 9.06 billion USD, thanks to the recovery of more than 1,600 agents on various blockchains.
A notable name is $AIXBT , an AI agent operated by a crypto influencer, built on the Virtuals Protocol platform. Although this token has increased by 73% in the past week, it is still 82% away from its January peak, indicating that there is still significant room for recovery.
In addition, blockchains closely related to AI such as:
Bittensor (TAO)
Near Protocol (NEAR)
...also increased by more than 9% in the past week, further reinforcing the belief that the AI group is returning to a growth trend.
Why is the AI token increasing again?
Interestingly, there is no specific reason that triggered this increase. Part of it comes from the ripple effect when Bitcoin surpassed the 95,000 USD mark after hitting a local bottom at 75,000 USD. However, experts believe there are three factors supporting the rise of the AI group:
Continued development of technology: Projects like Virtuals Protocol are still launching new features like the Genesis launch mechanism, helping to distribute agent tokens more fairly.
The attention of venture capital funds: Crypto VC funds are still pouring money into AI. Last week, Paradigm heavily invested in Nous Research, an AI accelerator with a token valuation of up to 1 billion USD after a funding round of 50 million USD.
The rise of independent AI models: Over 1,600 #AIAgent operating on blockchain, with corresponding tokens, is opening up a new economic model where AI both creates value and owns value.
Comparison with Bitcoin and Ethereum
At the same time, the two leading coins are:
Bitcoin: increased by 4%
Ethereum: increased by 7.6%
This shows that the increase of AI tokens is significantly outpacing others, even though the market capitalization is still much smaller. The total market capitalization of the entire AI portfolio in the crypto market is now approaching 26 billion USD – an impressive figure compared to the recent correction period.
What should Binance users pay attention to?
For Binance users, the strong resurgence of #AI tokens is an opportunity but also carries many risks:
Opportunity: Early investment in AI projects with long-term growth potential or AI agents with practical application models.
Risk: Many tokens are still down significantly from their peaks. FOMO investors may get 'stuck' if this recovery is not sustainable.
Users should prioritize projects with tokens listed on major exchanges like Binance, with good liquidity, transparent information, and a reputable development team. At the same time, caution is needed with emerging AI tokens that have not been verified – especially those that only increase due to temporary hype effects.
Risk warning:
Investing in cryptocurrency always carries high risks, especially with trend tokens like AI or meme. Large price fluctuations can bring quick profits but also come with the risk of heavy losses. Users need to consider carefully and should not invest beyond their financial capabilities. This article is not investment advice.