- The crypto market capitalization moved closer to its record valuation of $3.7 trillion following Donald Trump’s inauguration on Monday.
- Foresight Ventures has released a report highlighting AI, consumer payments and memecoins as key areas to watch in 2025.
- According to TradingView data, the AI and Memecoin sectors have seen over 185% gains and 83% gains, respectively, in 2024.
The global cryptocurrency market was turned upside down this week as the inauguration of US President Donald Trump triggered a wave of bullish catalysts. As traders navigate volatile market trends, a market outlook report from Foresight Ventures shows key sectors to watch in the coming weeks.
Trump Inauguration Brings Crypto Market Cap to Nearly $3.7 Trillion, All-Time High
After delivering a pro-crypto manifesto, Donald Trump’s presidential inauguration on Monday was a key event for digital asset investors around the world. The events surrounding Trump’s swearing-in triggered new capital inflows, pushing the valuation of the cryptocurrency market to record highs.
Notably, things heated up when Trump launched the TRUMP and Melania meme tokens just hours before the inauguration began. The two assets reached a combined valuation of $9.2 billion on Monday before retracing. Even more, wallets linked to Trump-backed crypto investment firm World Liberty Financial (WLFI) were spotted purchasing large amounts of cryptocurrencies, primarily Chainlink, Ethereum (ETH), and Tron ( TRX).
Global market capitalization of cryptocurrencies, January 24, 2025 | Trading View
Amid the market frenzy, investor capital inflows, riding on Trump-fueled euphoria, pushed the crypto market cap to $3.7 trillion on Monday, or just $300 million less than the all-time high recorded in mid-December, when crypto traders reacted to news of Gary Gensler’s impending departure.
PayFi Report Highlights AI and Memecoins as Key Sectors to Watch
However, even though the global crypto market received large inflows during Trump’s inauguration, the gains were not evenly distributed.
While tokens like Hyper Liquid and Solana saw double-digit increases, top projects like Shiba Inu and PEPE declined to a proportionate extent.
When large-cap assets decline during a broader market uptrend, it indicates that traders are selectively allocating their capital.
Taking a broad view of current trends, Foresight Ventures, a global leader in Web3 investments, has released a report highlighting AI, consumer payments and memecoins as key areas to watch in 2025.
“We firmly believe that the intersection of AI and crypto payments holds immense market potential. AI payments are poised to disrupt many industries beyond traditional finance, including data annotation, model training, and content creation.
– Co-founder of Foresight Ventures, Forest Bai, January 2025.
Validating this outlook, a recent TradingView snapshot from December 10, 2024 showed that the AI and Memecoins sectors saw over 185% and 83% gains in 2024, respectively.
Crypto Market Performance by Sector | Source: TradingView
The AI and Memecoin industries initially evolved as two separate, uncorrelated industries, with distinct target markets. However, in recent months, the advent of Crypto AI agents has opened a new frontier of decentralized finance, where AI agents can autonomously establish a market and execute economically viable transactions.
Crypto AI Agent Flowchart | Source: Foresight Ventures PayFi report, January 2025
Notably, the PayFi report, a case study involving the Skyfire tool, showed AI agents and AI service providers combining marketplace and payment layers to attract users while enabling revenue generation . Even more, consumer-facing crypto micropayments, combined with innovative models like Moonshot (for buying and selling coins) and Sidekick (a Web3 payment gateway for streamers), demonstrating the potential for instant global settlement and decentralized protocols.
If these crypto market prospects come to fruition, a new sector could emerge at the intersection of AI technologies and memecoin culture, potentially generating new value propositions and capital inflows.
Crypto AI Tokens to Watch in 2025
Crypto AI tokens such as Render (RNDR), NEAR Protocol, and Internet Computer Protocol (ICP) generated positive performance in January 2025. Looking ahead, Virtuals Protocol (VIRTUAL) emerges as the top performer in the AI token space for 2025.
VIRTUAL is an AI agent protocol designed to facilitate autonomous decision-making in blockchain ecosystems, enabling intelligent on-chain assistants to optimize tasks such as portfolio management, trading, and governance participation.
Virtual Protocol (VIRTUAL) Price Prediction: $5 Breakout Ahead if $2.5 Support Holds
Virtual Protocol (VIRTUAL) price offers an optimistic outlook, after facing downward volatility over the past couple of weeks.
As shown in the chart below, virtual price maintains a precarious balance near the $2.5 support zone, which aligns with the lower Bollinger band at $2.1. This level is critical in determining VIRTUAL’s next directional move.
A bounce from the $2.5 support could mark the start of a new rally. The RSI currently reads 46.17, hinting at potential oversold conditions.
If VIRTUAL holds above the median Bollinger band at $3.1099, it could catalyze a breakout towards resistance at $5.1450.
An increase in trading volumes near key levels would confirm the bullish momentum, targeting a 95% move from current levels.
Virtual price prediction
Conversely, failing to hold $2.5 would expose VIRTUAL to further declines, and possibly a retest of the $2.2 support.
The RSI showing bearish divergence below 50 raises concerns of slowing momentum. If bearish pressure persists, VIRTUAL risks extending losses to $2.0, a critical psychological level.
Memecoins to watch in 2025
The memecoin sector has remained resilient, with tokens like $TRUMP, $MEME, and Dogecoin (DOGE) attracting considerable attention in early 2024. $TRUMP and $MEME saw strong capital inflows in the middle of the year. euphoria of the inauguration, fueled by their association with cultural and political actors. events.
Meanwhile, Dogecoin rallied as the Bitwise ETF filed for the DOGE spot ETF just hours after Trump signed the DOGE Act. These catalysts indicate that upcoming social and political events could be powerful drivers of demand in the memecoin sector.
Ai16z, an AI-driven memecoin, is emerging as the top contender to watch in 2025. As the convergence of AI and memes has opened up new avenues for growth, the current $2 billion valuation of ‘Ai16z could increase significantly in 2025.
Ai16z Price Forecast: All Eyes on $1.5 Rebound Target
A1i6z is trading at $0.8546, maintaining a fragile position above the Donchian channel’s lower support at $0.7278. This level provides a crucial floor for near-term price action, while $1.5456, the median resistance, provides the key upside objective.
Williams %R’s current position at -86.06 indicates extreme oversold conditions, which often precede a corrective rebound. If Ai16z can hold above $0.8546 and break through the resistance at $1.5456, the upper boundary of the Donchian channel at $2.3634 will become the next logical target.
Ai16z Price Prediction
A rebound above $1.5 would signal a potential upside of 75%, especially if supported by increasing volumes and improving market sentiment.
On the other hand, failure to hold the $0.8546 support exposes Ai16z to a further decline towards $0.7278. Continued bearish momentum indicated by Williams %R could push prices lower, invalidating the rebound scenario. A break below $0.7278 could trigger panic selling, targeting psychological support at $0.50.