AI Tokens: Low Float, High FDV Drives Market Dominance

• Low float tokens like TAO and OLAS show notable market potential due to their limited supply and high fully diluted valuation.
• Higher circulating supply in tokens like FET and Render leads to reduced volatility, impacting investor sentiment and price stability.
• The dynamics of circulating supply and fully diluted valuation are crucial for understanding the performance of AI tokens in the crypto market.

AI tokens are reshaping the crypto market, according to a recent post by Token Unlocks. Their finding shows how tokens with low circulating supply (float) and high fully diluted valuation (FDV) are gaining traction.

Projects like TAO and OLAS, with their low float and high FDV, are attracting attention. Meanwhile, tokens like Artificial Superintelligence Alliance (FET) and Render (RNDR) are showing higher floats, which impacts price volatility and investor sentiment. These metrics are crucial for understanding market trends as AI continues to change the crypto sector.

Low Float Tokens: Big Potential

AI tokens with low circulating supply and high FDV have caught the eye of investors. Bittensor (TAO) is priced at $537.41 and has jumped 17.47% in the last 24 hours. Its 24-hour trading volume is $339,164,791, while its market cap has hit $3.96 billion.

Even though it has a circulating supply of 7,380,936 TAO coins, its max supply is capped at 21 million coins. This limited float, coupled with its high FDV, makes it an important player in the AI-driven crypto space.

Autonolas (OLAS) has also gained 3.78% over the past 24 hours, reaching a price of $1.31. While its exact circulating supply and market cap are not yet available, its performance suggests that it holds promise within the AI token market.

High Float Tokens: A Different Story

Tokens with a higher circulating supply, such as FET and Render, exhibit different market behavior. FET is trading at $1.68, up 7% in the last 24 hours. Its 24-hour trading volume is $351,099,483, with a market cap of $4.23 billion.

FET has a circulating supply of 2,520,000,000 FET coins and a max supply of 2,630,547,141 coins. Its higher float makes it more susceptible to market fluctuations, often leading to reduced speculative volatility.

Moreover, Render is valued at $6.24, up by 13.05% in the last 24 hours. Its market cap stands at $3.23 billion, with a circulating supply of 517,460,631 RENDER coins. Render, just like FET, has a higher circulating supply compared to TAO and OLAS, contributing to its unique market performance.

The Influence of Float and FDV

Float and FDV significantly impact token prices and investor sentiment. A lower float indicates that a smaller percentage of tokens is available for trading, which can cause increased demand and price movements. Investors are closely monitoring tokens with low float and high FDV, such as TAO and OLAS, as these metrics often suggest long-term growth potential.

Tokens with higher floats, like FET and Render, present a different market dynamic. Their larger circulating supply means they are less likely to experience extreme price volatility, offering stability to investors. However, they may also experience slower price increases compared to low-float tokens.