Bitcoin stalled, but AI coins surged... Is the market leader changing?

▲ NEAR Protocol (NEAR)/AI generated image ©

While Bitcoin (BTC) continues to trade sideways below $80,000, artificial intelligence (AI) themed coins are leading the market rebound. In particular, NEAR Protocol (NEAR) and Injective (INJ) recorded double-digit growth rates, outpacing the overall cryptocurrency market's returns.

According to investment media FXStreet on May 26 (local time), Bitcoin is currently trading above $76,000, while major altcoins such as Ethereum (ETH), XRP (Ripple), and Solana (SOL) are also continuing their sideways movement above $2,000, $1.30, and $80, respectively. Market analysis suggests that expectations of easing tensions between the US and Iran are partially restoring risk asset investment sentiment.

In particular, international oil price trends are influencing investor sentiment. West Texas Intermediate (WTI) crude oil fell to $90 per barrel amid expectations of peace talks between the US and Iran. US President Donald Trump mentioned Iran's enriched uranium processing issue as a key agenda item for negotiations, stating that “negotiations are progressing smoothly.” Generally, a decline in oil prices is interpreted as a factor that lowers inflation pressure and stimulates risk asset preference.

The strong performance of AI-themed coins was highlighted as the most notable trend in the market. NEAR Protocol experienced a slight correction today after a 15% surge yesterday but still maintained a strong upward trend. Its price is above all 50-day, 100-day, and 200-day Exponential Moving Averages (EMAs), and the Relative Strength Index (RSI) rose to 82, indicating entry into the overbought zone. Conversely, the Moving Average Convergence Divergence (MACD) maintained a strong positive trend, signaling that upward momentum is alive. The media suggested the next major resistance level as the high of $3.1850 recorded on November 18 last year.

Injective also joined the strong trend of AI-themed assets. INJ rose 10% yesterday and is currently trading above $5.50. Its price is moving above the key EMAs, and notably, the 50-day EMA and 100-day EMA formed a golden cross, indicating a short-term bullish signal. The RSI entered the pre-overheated zone at 66, and the MACD also maintained a positive trend above the signal line. The market is noting the $6.02 and $8.21 ranges as key resistance levels.

However, despite the strength of AI coins, the media assessed that the overall cryptocurrency market still shows a strong wait-and-see attitude. While Bitcoin and major large-cap coins continue their limited range-bound movements, investment funds are rotating towards AI themes. The future outcome of US-Iran negotiations and international oil price trends were identified as key variables that will determine the direction of risk asset investment sentiment.

*Disclaimer: This article is for investment reference only, and we are not responsible for investment losses based on it. The content should be interpreted for informational purposes only.*