Journalist
Posted:
- AI tokens have soared, increasing the market capitalization of AI tokens to approximately $28.1 billion.
- Despite gains in some altcoins, the altcoin seasonal index remains at 33%, indicating that a full altcoin rally is unlikely in the near future.
The crypto market has seen an upward trend in the past week, including that of Bitcoin [BTC] price returns to the $60,000 level.
This bullish momentum has led to significant gains in several altcoins, especially in the artificial intelligence (AI) token sector.
These developments have sparked discussions about a possible altcoin rally in the coming crypto week.
AI tokens will lead the charge in the coming crypto week
An analysis of the market cap of AI tokens reveals a continued upward trend, setting a positive tone for the upcoming crypto week.
AI tokens such as Internet Computer (ICP), Artificial Superintelligence Alliance [FET]and injective [INJ] have witnessed a significant increase in the last seven days.
At the time of writing, the market cap of AI tokens is approximately $28.1 billion, showing a clear upward trajectory.
If these tokens maintain their current momentum, we could see a further increase in market cap in the coming crypto week.
However, it remains uncertain whether this will be enough to spark the long-awaited altcoin rally.
Is an altcoin rally in the offing?
Analysis of key price data shows that several altcoins have shown significant growth over the past 90 days. Bit tensor [TAO] increased by 87.1%, while Sui [SUI] increased by 75.7%.
Moreover, Aaf [AAVE] won 72.4%, while Ripple [XRP] rose by 19.6%.
These impressive gains suggest that these altcoins could continue their positive trends in the coming crypto week.
Despite these encouraging signs, an altcoin rally may still be unlikely in the near future.
Data from Blockchain Center indicates that the current altcoin seasonal index is at 33%. In order to declare an altcoin season, 75% of the top 50 coins must outperform Bitcoin in the past 90 days.
Source: blockchain center
At the time of writing, only about 16 tokens have shown positive trends in the past 90 days, including those mentioned above.
This suggested that while individual altcoins are performing well, the broader market may not be ready for a large-scale altcoin rally in the coming crypto week.
Conclusion
The upcoming crypto week offers the potential for continued growth in AI tokens and select altcoins. However, market indicators suggest that a widespread altcoin rally may not occur just yet.
Investors should closely monitor market trends and conduct due diligence before making any investment decisions in the coming week.