Virtuals Protocol token is on the cusp of a 135% surge to its all-time high, even as smart money investors sell
Virtuals Protocol (VIRTUAL) price rose above a crucial resistance level at $2.1270, reaching its highest level since January. It has jumped by over 430% from its April low.
The token rallied as some of the biggest AI agents in its ecosystem became top performers on Monday. The Ava AI token surged 30%, while aixbt, VaderAI, Ribbita, and Game each rose by over 15%.
A likely catalyst for Virtuals Protocol and other AI tokens is the upcoming NVIDIA earnings report on Wednesday. The results are expected to shed light on the growth of the AI sector.
Analysts expect that NVIDIA’s Q1 revenue rose 65% to $43.17 billion, with earnings per share increasing from $0.61 to $0.73. Revenue guidance for Q2 is expected to hit $45 billion.
A strong earnings report by NVIDIA will likely push AI tokens like VIRTUAL and Artificial Superintelligence Alliance (FET) higher.
Still, Virtuals Protocol faces a few challenges. DeFi Llama data shows that the network has made $496,000 in revenues this month. While this is an improvement from last month’s $200,000, it is much lower than the January high of $3.9 million.
Another concern is that whales and smart money investors have been selling their tokens. Smart money investors now hold 7.1 million VIRTUAL tokens, down from a high of 11.9 million earlier this month. Whales hold 24.4 million coins, a drop from nearly 30 million on May 11.
Virtuals Protocol price technical analysis
The daily chart shows that Virtuals Protocol has rallied from April’s low of $0.4165 to a high of $2.1271. It has moved above the 61.8% Fibonacci retracement level.
More importantly, the token broke above the key resistance at $2.1271, the upper boundary of an ascending triangle pattern. VIRTUAL has also climbed above the 50-day Exponential Moving Average, while the Relative Strength Index is trending upward.
Therefore, the token will likely continue rising as bulls target the all-time high of $5.1335, its peak in January. A move to that level would represent a 135% gain from the current price.
