The AI agent crypto market cap has fallen to $6.6 billion, with top AI agent tokens’ market caps bleeding heavily over the past week.
AI agent tokens, which enjoyed huge gains in late 2024, are now one of the hardest-hit narratives in the current crypto market downturn. Collectively, their market cap has bled 40%, falling from over $10 billion to around $6 billion, according to CoinGecko.
Over the past week, the market cap trends for the top 10 AI agents by mindshare reveal a mostly downward trajectory, according to cookie.fun. Fartcoin (FARTCOIN) experienced a sharp decline, losing 53% of its market cap, while Ai16z (AI16Z) followed closely with 51%. The market caps of Virtuals Protocol (VIRTUAL) and aixbt (AIXBT) also bled heavily, shrinking by 49% and 45% respectively. Griffain (GRIFFAIN) and ARC fell by 32% and 43% respectively.
Out of the 10 top AI agents by mindshare, only HENLO (+1%), VVV (+2.8%), and (SNAI) (+127%—a remarkable contrast to the widespread losses) market caps are in the green over the week.
Is AI agent craze over?
Crypto researcher Crypto Stream shared his thoughts on the decline in the AI narrative, pointing out in his recent post on X that the broad market sell-off is due to liquidity leaving, not because the projects are failing. He also observed that liquidity appears to be rotating into large-cap altcoins, while on-chain AI projects are struggling the most. However, he believes that liquidity may rotate back into AI coins at some point, but this would require large caps to stop pumping, continued interest in AI agents, and no new catchy narrative emerging.
He ended with a cautious note, warning investors that trying to time the bottom of these AI projects is too risky. While it could be very profitable, “there is a high probability of missing the bottom and high uncertainty that any of the projects reach previous highs,” he added.
