The artificial intelligence (AI) cryptocurrency sector is showing renewed momentum as protocols based on the x402 standard experience significant growth and the Virtuals ecosystem regains traction. After months of stagnation following the early 2024 memecoin wave, several AI-focused tokens have posted notable gains, signaling a potential revival in this niche of the crypto market.
One of the standout performers is VIRTUAL, the native token of the Virtuals ecosystem, which has surged approximately 84% over the past week. Within the same period, ecosystem affiliate tokens like TIBBIR and AIXBT have climbed 27% and 54%, respectively. These gains coincided with Coinbase’s decision to enable trading access for all Virtuals-based AI agent tokens on October 24, broadening exposure and liquidity for the projects involved.
The Virtuals platform gained notable attention earlier this year during the height of the AI agent craze. Its token experienced an extraordinary rally, reaching an all-time high of $5 in January 2025 after skyrocketing over 10,000% from just $0.04 in October 2024. Since then, VIRTUAL has pulled back along with the broader altcoin market and is currently valued around $1.46.
Equally important to the sector’s resurgence is the rapid expansion of x402 protocols, which underpin AI agent payment systems and enhance decentralized finance applications driven by autonomous AI agents. Coinbase’s implementation of the x402 standard alongside projects like PayAI has catalyzed this trend. Notably, PayAI’s token has appreciated by an impressive 2000% over the last month.
Transaction data reflects the surge in protocol usage as well. According to analytics platform Dune, the total number of x402 transactions has jumped dramatically — from approximately 60,000 at the start of October to 1.51 million as of today. This exponential increase illustrates growing demand and integration of AI agent payment infrastructures.
Additionally, early AI agent tokens launched in 2024 have shown recovery signs, as market participants revisit bets on projects capable of aligning with or transitioning into the x402 protocol ecosystem. Industry analyst DeFi0xJeff, formerly of The Spartan Group, highlighted in a recent thesis that although the full x402 stack is still under development, the AI agent narrative remains potent. He pointed out that while speculation fuels much of the current price appreciation, sustainable growth will depend on the maturation and commercialization of products within this space.
As the AI token sector navigates this phase of renewed activity, investors and developers alike are closely monitoring the practical adoption of x402 standards and the progress of ecosystems like Virtuals. The coming months will likely prove pivotal in determining which projects can capitalize on the growing integration of agentic AI technologies in decentralized finance.
