AI-Related Cryptocurrencies See a Significant Rally Amid New Developments in the AI Industry

NEAR Protocol (NEAR), the largest AI coin by market cap, rose 6% in the last 24 hours, trading at $5.45 per coin at press time.

Artificial Intelligence (AI)-related cryptocurrencies experienced a notable rally on Monday, with several new developments in the AI industry sparking fresh interest among investors.

Here’s a closer look at the price movements of some AI coins over the last 24 hours, according to data from CoinGecko:

* NEAR Protocol (NEAR), the largest AI coin by market capitalization, rose 6% to trade at $5.45 per coin at press time.

* Internet Computer (ICP), Render (RENDER), Bittensor (TAO), and FET also hit gains of 5.2%, 7.6%, 7.5%, and 4%, respectively, in the same period.

* Meanwhile, other AI tokens, including Livepeer (LPT), Virtuals Protocol (VIRTUAL), AI Rig Complex (ARC), and PAAL AI (PAAL), recorded much higher gains of 20.7%, 20.5%, 19.5%, and 16.7%, respectively.

The total market capitalization of AI coins surged 25% to stand at $43.5 billion at the time of writing. This rally comes as the AI sector saw some major developments over the weekend.

President-elect Donald Trump revealed the White House advisory appointees who will work together with the incoming AI & Crypto Czar, David Sacks, to centralize artificial intelligence policy and bolster the nation’s leadership in transformative technologies.

The announcement, made across two Truth Social posts on Dec. 23, included the appointment of Sriram Krishnan as senior policy advisor for Artificial Intelligence, a newly created role within the White House Office of Science and Technology Policy.

Further, Michael Kratsios was named Director of the OSTP, while Lynne Parker was appointed executive director of the Presidential Council of Advisors for Science and Technology—two offices that predate the Trump administration. Both Kratsios and Parker have previously played key roles in advancing the AI industry in their respective positions.

The appointment of AI experts to key positions in the Trump administration is likely to have boosted investor confidence in the future of the AI industry. AI-related crypto assets often experience rallies in response to positive developments and bullish news within the AI sector.

Another key factor that is likely to be supporting the recent surge in AI tokens is the major funding announcement from xAI, the AI startup founded by billionaire Elon Musk.

On Monday, the company revealed that it had secured $6 billion in its latest funding round, bringing its total valuation to over $40 billion.

xAI said that the newly raised funds, which included participation from chip-making giants NVIDIA and AMD, will be used to build advanced AI infrastructure and enhance the development of its flagship models.

As reported by crypto.news earlier, AI tokens previously reached an all-time high on Nov. 28, following an exceptionally bullish quarterly sales report from AI chip-making giant Nvidia, which surpassed market expectations.