AI Crypto Sector Slides as Top Analyst Warns of an ‘Infrastructure Bubble’
2025-07-01 08:10:13

Main Idea
The AI crypto sector is experiencing a decline in market capitalization, with notable drops in key tokens like FET and VIRTUAL, amid concerns of an 'infrastructure bubble' similar to past market bubbles.
Key Points
1. The AI Agents token sector's market cap fell 4.85% to $4.52 billion, despite a 7.85% increase in 24-hour trading volume to $697 million.
2. FET, the leading token, declined 4.43% in 24 hours and 6.47% weekly, with a trading volume of $98 million.
3. VIRTUAL, the second-largest token, dropped 8.51% in 24 hours and 14.46% weekly, with a trading volume exceeding $187 million.
4. Market observers compare the rapid expansion of AI infrastructure to past market bubbles, such as the 1990s fiber optic boom.
5. Other tokens like AI16Z, TRAC, FAI, and PHA also saw declines, though some showed minor positive movements in the last hour.
Description
AI Agents sector market cap drops 4.85% amid strong trading volume growth. FET and VIRTUAL tokens lead declines with notable volatility and high trading activity. Overexpansion of AI infrastructure raises valuation and market confidence concerns. The AI Agents token sector is experiencing a decline, with the total market capitalization falling 4.85% to approximately $4.52 billion. Despite this drop, trading activity remains strong, as 24-hour volume increased 7.85% to about $697 million. The mix...
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