Artificial Intelligence (AI) has been a booming sector in the cryptocurrency market in 2024, with AI-related coins experiencing significant growth and surges in value. The combined returns of AI coins have increased by 76% since the beginning of the year, showing a promising trend for investors. This surge in AI coins can be attributed to various factors, including market trends, announcements, and the overall performance of the AI sector.
Entrepreneur and Bitcoin investor Lark Davis highlighted the impressive returns yielded by AI coins in 2024, surpassing the gains of other cryptocurrencies. Tokens such as Worldcoin, Fetch.AI, and SingularityNET have seen substantial surges in value, driving the bullish trend in the market for AI-related coins. Worldcoin’s WLD token, aiming to build a vast identity and financial network, experienced a remarkable bull run, surging by 222% in the last four weeks and reaching an all-time high of $9.449 on February 25.
However, the recent lawsuit by Elon Musk against OpenAI has affected the bullish run of AI coins, showcasing the influence of external factors on the market. Despite this setback, SingularityNET’s AGIX token has been steadily approaching the $1 milestone, marking the fifth consecutive week of positive growth and showing a 218.5% increase over the last month. Fetch.AI’s FET token reached its all-time high on March 1 at $1.66, signaling a significant bullish trend with a 191% surge over the last month.
The surge in AI coins can be attributed to various factors, including the launch of OpenAI’s Sora and the announcement of proposed multi-trillion dollar raises by Sam Altman. Additionally, NVIDIA’s strong earnings performance exceeding expectations resulted in a substantial $272 billion addition to its market value in just one day. Given NVIDIA’s pivotal role in AI development through chip production, this success positively impacted the AI crypto market, contributing to the overall growth of AI-related coins.
While AI coins have experienced a surge in value, meme coins have also shown significant gains in recent weeks. Despite a 30% decline from its peak, Bonk (BONK) rallied by over 100% in February, recovering losses from January. Meme coins like Shiba Inu (SHIB) and Dogecoin (DOGE) have also seen notable gains, rising by nearly 40% and 45% over the past week, respectively. The overall meme coin market cap has seen an 8% increase in the last day, reaching $33.6 billion, showcasing the rapid surge and growth in the meme coin sector.
AI coins have demonstrated impressive growth and performance in 2024, outperforming other cryptocurrencies and showcasing the potential of the AI sector in the cryptocurrency market. Despite external factors impacting the market, the surge in AI-related coins highlights the evolving trends and opportunities within the cryptocurrency space. As investors continue to monitor the market and analyze emerging trends, the future of AI coins remains promising with potential for further growth and innovation in the coming months.