The crypto market is known for its volatility, and the recent buzz is focused on certain AI-driven tokens. Fetch.ai (FET) and Rendr (RNDR) are garnering particular interest, posing an essential question for investors: should one hold onto or sell these assets?
AI Tokens Gain Traction with Active Addresses
Santiment’s latest data indicates a surge in active addresses for Fetch.ai and Rendr. This uptick suggests a growing interest and participation in these digital currencies. Despite the interest, there’s a trend of token holders looking to sell, hinting at a possible increase in selling pressure. Furthermore, the movement of old coins and a spike in dormant circulation are raising eyebrows. While these metrics have shifted, their overall impact remains to be seen, especially when compared to the activity in December.
Rendr experienced relative price stability in March, but recent selling pressure has left buyers in a precarious position. Meanwhile, the liquidation heatmap alludes to considerable liquidation at the $8.4-$8.7 price range for RNDR, indicating a higher risk of liquidation at these levels. Should the downward trend persist, the price could slide below the $8 threshold, presenting potential buying opportunities at the $8.4 and $5.7-$5.9 levels for those willing to take a long-term view.
Examining FET’s Current Trajectory
Amidst market uncertainties, FET’s performance on the charts stands out. Still, investors should consider other factors, such as the project’s contributions to the decentralized AI alliance and ongoing development activities. These efforts are evidenced by the significant boost in active addresses in March, indicating the project’s growing potential. Nonetheless, rising inactive circulation combined with a decrease in the average cryptocurrency age suggests caution is warranted.
Points to Consider
- Active address growth for FET and RNDR indicates increased market interest.
- RNDR’s price stability may be at risk due to recent sell-offs.
- FET shows promise with development activities, but investors should monitor for accumulation phase signs.
Following FET’s spike to $3.5, it saw a dip. Nonetheless, the clearing of liquidation levels near $3.25 marks a critical juncture. With a substantial liquidation level present between $2-$2.15, prices dropping to this zone could signal a potential trend reversal for attentive investors.