The cryptocurrency market this week is witnessing a strong surge in AI tokens, with Bittensor (TAO) growing by more than 56%.
In the past 48 hours, AI-related altcoins such as Bittensor (TAO), Fetch.AI (FET), and Worldcoin (WLD) have recorded gains far surpassing many other coins. According to the GMAI index, which represents leading AI tokens, this sector has increased by more than 30% in a week. Meanwhile, the GM30 index, which measures the performance of the top 30 tokens by market capitalization, only rose by 9.8%.
The TAO token, from the decentralized machine learning protocol Bittensor, has seen a sharp rise, growing over 56% in the past week, pushing its market capitalization back to $4 billion. At the time of writing, TAO is trading around $540.
Not only Bittensor, but other prominent AI tokens like Fetch.AI (FET) and Worldcoin (WLD) also experienced significant growth, with increases of 20% and 17%, respectively, over the past week.
This AI token price surge has been driven by the “Crypto x AI” narrative, especially after the release of OpenAI’s ChatGPT o1 model on September 13, along with rumors of a massive $6.5 billion funding round, which boosted OpenAI’s valuation to $150 billion on September 20.
Moreover, macroeconomic factors such as the Federal Reserve’s interest rate cuts and Vice President Kamala Harris’ commitment to promoting AI technology and digital assets have played a key role in fueling the cryptocurrency market’s recovery, particularly in the AI sector.
