- With OpenAI’s new model on the horizon, some altcoins are likely to outperform.
- Investors can refer to the Artificial Intelligence sector of altcoins to maximize gains.
- Worldcoin, andTokenFi could continue to outperform their peers.
The Artificial Intelligence (AI) company OpenAI announced on Tuesday that it has begun training its new frontier model.
OpenAI has recently begun training its next frontier model and we anticipate the resulting systems to bring us to the next level of capabilities on our path to AGI.”
This news, coupled with rumors that the GPT-5 (Generative Pre-trained Transformer) has already been trained, suggests that the release of the next model is not too far away.
Because people are now seriously starting to say that the new model that OpenAI says they are starting to train is GPT-5, here is the reference again.
GPT-5 was already tested by the red team in April. Training has long since been completed.
What has now been started in training…— Chubby♨️ (@kimmonismus) May 28, 2024
Some sectors of cryptocurrencies tend to be swayed by the developments in the AI field. For example, the GPU-manufacturing company Nvidia’s earnings played a key role in some AI-based altcoins’ performance. Likewise, the release of the highly anticipated GPT-5 model could trigger a similar rally in the AI category of altcoins.
Read more: AI, meme coins and prediction market tokens soar ahead of Ethereum ETF decision
AI cheat sheet for GPT-5 release
Below is the performance of some of the AI-based altcoins. TokenFi (TOKEN) is a clear winner, with a 37% gain in the past seven days. The gains of other cryptocurrencies are minuscule and cannot be compared with TOKEN.
AI Altcoins’ performance
Regardless of their performance in the last seven days, here are two tokens that could see a massive boost in the upcoming days.
- Token (TOKEN), due to the momentum it has.
- Worldcoin (WLD), due to its connection with OpenAi, i.e., Sam Altman.
Read more: Worldcoin price could rally 20% if Nvidia earnings beat estimates
Let’s understand where the TokenFi price could go next.
The 12-hour chart for TOKEN shows that it is at a critical point in its uptrend journey. So far, the TokenFi price has surged 42% in the past two weeks and is currently retesting $0.161, the midpoint of the $0.0762 to $0.246 range. Additionally, this level coincides with the Volume Profile’s high-volume node. This indicator tracks the distribution of trading volume across different price levels and can be interpreted as places of high-volume and low-volume nodes. The former can serve as a support or resistance level depending on the relative position of the price. The latter, however, is seen as liquidity pockets that act as buy zones and attract price reversals.
Going forward, in case of rejection at the $0.161 key hurdle, investors can expect TOKEN to retest the $0.135 and $0.129 support levels . This 15% correction can be a good opportunity to accumulate for sidelined and long-term investors. The Relative Strength Index (RSI) is hovering in the overbought zone and supports the potential pullback. However, investors need to note that there are no short-term sell signals that support this correction.
Regardless, if the said pullback occurs, TokenFi could stablize around the above-mentioned levels. Following this, a bounce could see TOKEN attempt a retest of the 62% retracement level at $0.181, which coincides with Volume Profile’s high-volume node, making it a good level to book profits, at least for swing traders.
TOKEN/USDT 12-hour chart
On the other hand, if TokenFi price fails to bounce around the $0.135 and $0.129 levels, it could denote weakness among buyers. In such a case, TOKEN bulls could have a chance to form a base around $0.110, which is called the Point of Control (POC) and is the highest volume traded level for the selected range, according to the Volume Profile indicator.
A breakdown of $0.110 level will create a clear break of market structure by producing a lower low below the May 23 swing low of $0.108. Such a devastating move would invalidate the bullish thesis and could trigger an extra 30% correction to $0.0762.
