Driven by the growing enthusiasm for artificial intelligence (AI), cryptos in this sector have experienced a meteoric rise in recent months. In less than a year, their overall market capitalization increased from $1.1 billion to $7 billion, a spectacular increase of 540%. And nothing seems to be able to stop this growth.
AI-Linked Cryptos Soar, Generating Massive Gains
The AI-related crypto market weighed barely $1.1 billion in January 2023. In less than a year, it has multiplied by more than 6, reaching a capitalization of $7 billion at the end of 2023.
Over the period alone from November 29 to January 3, 2024, no less than 1.75 billion dollars increased the valuation of this sector. These numbers make you dizzy and illustrate the extent to which investors are rushing into these high-tech cryptos.
Among the stars of this market, The Graph (GRT) undoubtedly occupies the top of the basket. Its valuation has now reached $2 billion after an increase of 40% in one month and 10% on the single day of January 3, 2023. Fetch (FET) is also on the rise with a jump of 34% over one month. . Other cryptos like Ocean Protocol (OCEAN) or AGIX are also performing excellently.
Certainly, the market is also experiencing some disappointments, like IMGNAI (-45.77%) or BBANK (-38%). But overall, the trend is extremely bullish and echoes investors’ appetite for all AI-related innovations.
AI and blockchain, a promising marriage
This enthusiasm can be explained by the incredible potential offered by the coupling of AI and blockchain. These two disruptive technologies indeed present strong synergies and their alliance opens the way to a host of exciting use cases.
Concretely, AI can optimize and secure blockchains through process automation. It also allows the creation of more sophisticated smart contracts and oracles. In return, blockchain provides AI with a decentralized, transparent and tamper-proof infrastructure for storing and sharing data or coordinating AI systems.
We are therefore witnessing the emergence of numerous cryptocurrencies aiming to realize this promising technological marriage, with the ambition of offering a credible alternative to GAFAM in the field of AI. Examples include Fetch AI and its decentralized AI solution, or SingularityNET which is building a global and open market for AI services.
It is difficult to predict how far this sector will go. But its dazzling growth in recent months suggests colossal potential. Experts are already talking about the advent of a new era for AI powered by blockchain. Wait and see…
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