AI cryptocurrencies have taken a hit, losing nearly a third of their value despite hopes for a future altcoin season in 2025. The market cap for these tokens has dropped to $50.5 billion from a peak of $70.4 billion in early December, according to CoinMarketCap. Trading volumes have also dipped by 11%, indicating waning interest.

This decline aligns with a broader crypto market downturn, where Bitcoin has seen a 14% correction. Analysts anticipate a potential altcoin season in 2025, which could redirect Bitcoin profits into smaller cryptos, possibly reviving AI tokens.