Crypto AI Agents’ total market cap has sharply declined, now sitting around $7 billion after dropping from $20 billion just a month ago. While some leading tokens continue to struggle, others have shown resilience, with AI16Z and ARC posting significant gains in the last seven days.

Whale engagement and smart account activity have been declining but at a slower pace, suggesting potential stabilization. If interest in AI-driven narratives returns, the top-performing Crypto AI Agents could be primed for another breakout, with projects like VIRTUAL, AI16Z, and ARC positioned to benefit the most.

Some Crypto AI Agents Leaders Are Struggling, But Others Are Rising

The top 10 biggest Crypto AI Agents coins show a mixed performance, with one recently launched, three declining over the last seven days, and six posting gains. AI16Z and ARC have led the recent upside, highlighting strong momentum within certain coins.

VIRTUAL, the largest Crypto AI Agent coin, is up around 10% this week but is still struggling to regain the momentum that once made it the biggest artificial intelligence token in the market. Its dominance in the sector is reflected in the top 10, as three of the biggest AI Agent coins are directly linked to its ecosystem.

Blockchain distribution also plays a key role. Four of these tokens launched on Base and another four on Solana, with only one on Ethereum and one on BNB. With Virtuals Protocol now live on Solana, the network’s presence in the crypto AI agents ecosystem space could become even stronger.

ARC and AI16Z

ARC has been the biggest winner among the top 10 Crypto AI Agents coins in the past seven days, surging nearly 96%. This impressive rally has pushed ARC to the fifth spot in the rankings, with a market cap of approximately $320 million.

Despite a slight pullback in the last few hours, ARC is still trading at its highest levels since late January.

AI16Z follows as the second-best performer, climbing over 50% in the past week as AI-powered market analysis bots regain momentum.

With this surge, AI16Z has now become the second-largest Crypto AI Agent coin and the biggest one built on Solana, reaching a $513 million market cap.

However, it still trails VIRTUAL by 61%, showing that while AI16Z is gaining traction, VIRTUAL remains the dominant force in this sector.

Are Crypto AI Agents Ready for a Rebound?

The engagement of smart accounts on Crypto AI Agents – wallets linked to KOLs or smart traders – has been steadily declining since January 27. These accounts play a crucial role in the market, as they often indicate where experienced investors are focusing their attention.

A sustained drop in engagement suggests that interest in AI-driven crypto narratives has cooled off, leading to reduced activity in key tokens. However, while engagement is still trending downward, the rate of decline has begun to slow.

If smart account activity stabilizes and eventually starts to rise again, it could signal renewed confidence in the sector.

A resurgence in AI-related hype, similar to the levels seen in previous months, would likely benefit major crypto AI Agent tokens like VIRTUAL, AI16Z, and ARC.

The Ethereum Foundation (EF) today allocated $120 million in ETH tokens to DeFi lending protocols: Aave, Spark, and Compound.

The Foundation has been in a sustained leadership crisis caused by token sales to pay overhead costs. The EF has shown a willingness to respond to the community, but it still faces tough challenges ahead.

Ethereum Foundation Banks on DeFi Lending

The Ethereum Foundation (EF) has been going through a leadership crisis lately. Specifically, it has been selling ETH tokens to pay overhead costs, and an outraged user base has demanded alternate solutions.

Today, the EF found one, transferring tokens worth $120 million into a few DeFi lending protocols.

“We’re grateful for the entire Ethereum security community that has worked diligently to make Ethereum DeFi secure and usable! More to come, including exploring staking. If you have suggestions or ideas for future deployments, reply in the comments below and let us know!” the Ethereum Foundation claimed on social media.

The EF picked three DeFi lending protocols for this allocation, putting 10,000 ETH into Spark and 4,200 into Compound. The rest went to Aave: 10,000 to Aave Prime and 20,800 to Aave Core.

Aave is a popular lending protocol that has been particularly entangled with Ethereum. In the past, it has surged dramatically in response to ETH price moves.

By using these DeFi lending protocols, the EF will be able to reap substantial rewards passively. Based on a 1.5% supply rate, these tokens will earn around $1.5 million annually. The community has responded positively to these changes, and Vitalik Buterin warmly welcomed them on social media.

In some ways, this turn to DeFi is a prime example of the EF actually responding to community pressure. However, the Foundation is still facing a lot of other challenges that will truly put it to the test.

When it comes to specific demands, Buterin has been willing to adapt to community pressure, but he has resolutely refused challenges to his leadership.

Meanwhile, Ethereum’s price has seen a continued decline lately. The market still shows a strong confidence that it will return: ETH ETFs are soaring because traders are buying the dip. Nonetheless, this won’t be enough to create bullish new momentum by itself.

Ultimately, these DeFi lending protocols might make a real difference in changing the EF’s fortunes. By changing tactics here, Ethereum’s leadership has demonstrated a willingness to respond to the community.

Between a show of good faith and strong investor confidence, another small push might start to turn things around for ETH’s market performance.

XRP has been forming a red bearish candle since the beginning of February, which is a result of a price crash that took place at the start of the month. Although THE ALTCOIN has since recovered slightly, it has yet to return to its January open. Nonetheless, the majority of crypto investors remain bullish on the long-term prospects for XRP, with analysts doubling down on optimistic price targets ranging from $2 to $5.

However, a crypto analyst on the TradingView platform has presented a compelling bearish case for XRP, warning that the asset is nearing the end of a crucial 12-year cycle, which could trigger a severe correction down to $0.1.

XRP’s 12-Year Cycle Nears Completion. Major Correction Ahead?

According to the analyst, XRP has almost completed a 12-year cycle, and the conclusion of this phase is going to be a very intense correction of the XRP price. While acknowledging that XRP could still reach a slightly higher high before the full decline begins, the analyst believes that the probability of significant further upside is low and warns that a continued correction might occur over the coming months.

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The warning is centered around technical indicators and technical patterns, particularly a long-term triangle pattern. This long-term triangle pattern persisted for five years between XRP’s all-time high of $3.40 in 2018 up until 2024, before breaking out into a final fifth wave. This final fifth wave has allegedly peaked at $3.40 in January 2025, and the next move from here is an extended move downwards.

The analysis also references the Bullish/Bearish Reversal Bar Indicator by Skyrexio, which confirmed the conclusion of the 12-year cycle. Now, the proposed target for the correction is set around $0.1, based on the 0.5 Fibonacci retracement level.

Contrasting Prediction As Majority Remain Bullish On The Altcoin’s Future

At the time of writing, XRP is trading at $2.43, meaning that a correction to $0.1 would represent a 95% decline from its current level. Such a drop would not only erase nearly all of XRP’s gains since 2017 but would also mark one of the most devastating collapses in its history. Interestingly, this projected loss in XRP market cap would be even greater than the one witnessed during the years it was suppressed by the weight of the SEC lawsuit against its parent company Ripple. 

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This bearish prediction contrasts the overwhelmingly bullish sentiment currently surrounding XRP. Many analysts and investors expect extended price growth in anticipation of institutional adoption and regulatory clarity under the new Trump administration. One analyst even recently predicted that the XRP price is about to make an all-time high run to $5. Another analyst, Javon Marks, noted that XRP is well on track to reach over $100 in the coming years.

Featured image from Medium, chart from Tradingview.com