ince the FED announced a 50 bp rate cut, the crypto market has reacted positively. AI related tokens especially saw a strong reversal with the biggest gains. Some AI tokens even saw 50-100% increase in the last week.
Strong Performers
Bittensor also known as TAO, took the lead with a remarkable 86% increase. Furthermore, DYM witnessed a 30% price increase in a few days.
Underperforming Sectors
Although AI related tokens saw remarkable price increase, there was a sector that underperformed relatively to the whole market and other sectors. This sector is decentralized applications, with tokens such as Uniswap on ethereum and Jupiter on Solana blockchain, that experienced an average of %13 growth in the past week.
Market Liquidity Trends
According to the Kaiko report, larger altcoins tend to have most of the liquidity. Currently the top 10 cryptocurrencies by market cap dominate approximately 60% of the whole crypto market in terms of market cap, which was 50% in the first part of 2022. This increase highlights the fact that market makers are now concentrating on more established assets.
AI Tokens Lead Crypto Market Surge
The crypto market is characterized by different outcomes in sectors, with AI tokens leading the way. This development, when paired with changing liquidity trends, suggests a possible evolution of investor interest towards more established and technologically sophisticated cryptocurrencies.
