I just added to my position at $VVV , making it larger than before.
This pullback is mainly due to the broader market dragging it down, and the news flow points to the same cause: the market fell broadly, and its decline was even more pronounced than average. This shows that the asset is currently quite closely correlated with the broader market: it rises when sentiment is positive and falls faster when sentiment turns negative. It has yet to break out into an independent trend.
Looking at the chart, it has been consolidating since its surge, with the price returning to an area of heavy trading from the previous period. This is where buyers and sellers will truly face off. If it holds the round-number level, this dip can be considered a retest; if it fails, be prepared for another leg down. For the price to move higher, it needs to reclaim lost ground on strong volume before we can talk about a return to strength.
The story behind it is “AI plus privacy, with permissionless access to models”—essentially, the AI theme extending into applications. That narrative is currently cooling off. It’s not that people no longer believe in it; rather, the broader market has captured investors’ attention, and fewer are willing to pay a premium for the story. For interest to pick up again, either the AI sector as a whole needs to recover, or the project needs to produce verifiable usage data.
With this addition, I’m betting on sentiment recovering from this level, not on the story being retold right away. The key thing to watch next is whether it can stop falling ahead of the broader market once conditions stabilize. That would be the real sign that money is flowing back in.
This pullback is mainly due to the broader market dragging it down, and the news flow points to the same cause: the market fell broadly, and its decline was even more pronounced than average. This shows that the asset is currently quite closely correlated with the broader market: it rises when sentiment is positive and falls faster when sentiment turns negative. It has yet to break out into an independent trend.
Looking at the chart, it has been consolidating since its surge, with the price returning to an area of heavy trading from the previous period. This is where buyers and sellers will truly face off. If it holds the round-number level, this dip can be considered a retest; if it fails, be prepared for another leg down. For the price to move higher, it needs to reclaim lost ground on strong volume before we can talk about a return to strength.
The story behind it is “AI plus privacy, with permissionless access to models”—essentially, the AI theme extending into applications. That narrative is currently cooling off. It’s not that people no longer believe in it; rather, the broader market has captured investors’ attention, and fewer are willing to pay a premium for the story. For interest to pick up again, either the AI sector as a whole needs to recover, or the project needs to produce verifiable usage data.
With this addition, I’m betting on sentiment recovering from this level, not on the story being retold right away. The key thing to watch next is whether it can stop falling ahead of the broader market once conditions stabilize. That would be the real sign that money is flowing back in.
