AI Tokens in Chopping Range: Can FET and AGIX Break Out?

AI-linked cryptocurrencies like FET and AGIX are experiencing price stagnation. These AI coins, once popular, are now trading sideways without a clear direction.

A chopping range occurs when an asset’s price moves sideways without significant gains or losses. For AI coins, this sideways movement followed a period of rapid price rise in early 2024. But now, many of them are struggling to break out.

Investor sentiment has changed as well. The initial excitement for AI tokens has cooled. Speculative interest drove the initial price surge, but traders are now more cautious. Many investors are waiting to see real-world applications that have led to market indecision.

External forces have also played a role for the price to stagnate. The broader crypto market is declining, with major coins like Bitcoin and Ethereum struggling. This has affected the entire market, including AI coins.

Macroeconomic factors such as inflation and regulatory uncertainty negatively impact tech investments. Add to this, the AI blockchain projects being in their early stages, have added to the uncertainty.

Despite the price stagnation, AI blockchain projects continue to advance. FET.ai is improving its decentralized autonomous agent platform, while SingularityNET is developing its AI marketplace. These projects are still building out their technology, though their progress has not yet translated into significant price movements.

Breaking Out of the Chopping Range

To move beyond this chopping range, AI coins will need both market improvements and increased adoption. Broader cryptocurrency conditions must stabilize, and institutional interest may be necessary to drive the next wave of growth. Some experts believe real-world use cases could serve as a catalyst for a breakout.

For now, AI coins remain stuck within the aforesaid price range as market participants wait for further developments. Traders are monitoring these projects closely to see whether they can push beyond their current price bands.

Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.

Source