FET, the native utility token of Fetch.ai, has joined the bull run with other AI-based blockchain tokens. The now-five-year-old cryptocurrency, hitting a 2-year high last week has now broken out of its previous all-time-high set in November 2021.
At the present trading price of $0.98, the token gave a solid 80% return for the investors in the last two weeks. This appears to be a replay of the Worldcoin token, another AI-platform-based cryptocurrency, that hit its $7 peak price following the Sora announcement.
What is Fetch.ai?
Fetch.ai is an AI-based blockchain platform that serves as a tool to automate repetitive tasks. The platform was initially built on top of Ethereum until they moved to their mainnet.
Fetch.ai offers bots that will help you perform your chores like booking parking spaces and hotels or planning a holiday based on a friend’s holiday last year.
The ecosystem is powered by the FET token, which serves as its native currency and governance token.
What Caused FET Prices To Rally?
There are a few reasons that could have catalyzed this never-been-before rally of FET prices in the crypto exchanges.
Strategic Partnership With Deutsche Telekom
Crypto commentators suggest that one major driver behind the growth of FET tokens is the collaboration of the parent company with Deutsche Telekom.
The German telecommunications giant has recently announced their plans to tie up with Fetch.ai to bring AI- and IoT-based innovations to their operations.
Deutsche Telekom will collaborate with Fetch.ai at the Bosch Connected Experience (BCX) that is going to be held on February 28 and 29. BCX is considered Europe’s largest IoT and AI hackathon.
OpenAI Introduces Sora
In another related development, OpenAI has unveiled its text-to-video generation tool Sora. The ground-breaking AI model can create realistic and imaginative scenes that are less than a minute long from text instructions alone.
The AI giant has boasted samples of the Sora’s capabilities on their website which took the media space by storm. Its ability to generate complex scenes and attention to detail has been widely lauded in the technology community. This has pushed the prices of several crypto tokens that power AI-based platforms.
The Crypto Bull Cycle
These two events came as the icing on the cake in an already-heating crypto market. Leading blockchains, including Bitcoin, have already broken their resistance levels in the last weeks.
The crypto market has been in recovery since early 2023. The phenomenon became a bull run from the end of 2023 when the Bitcoin market cap, ahead of the upcoming halving event in 2024, started to inch toward the $1 trillion mark.
Conclusion
While the results are not clear, experts suggest that FET still has a lot of steam left to go upward. On the broad front, Bitcoin leads the pack with a little over half of the entire $2 trillion crypto industry market cap.
With over $300 billion in total value, Ethereum keeps the second spot. Spectators around the globe are eagerly waiting for the major cryptocurrencies to reach new highs.
Related News: Ethereum Closing In On $3,000 Amid Anticipation Of US ETF Listing And ‘Dencun’ Upgrade
