Venice AI is experiencing a surge in users and is conducting continuous token burning.
Written by: invezz
Compiled by: AididiaoJP, Foresight News
The price of Venice Token has continued its strong upward trend this month, currently hitting a new all-time high. On Sunday, the VVV token was trading at $15.20, just a few points away from its all-time high of $16.65. It is still up nearly 1500% from its lowest point last December.
Note: VVV has broken its all-time high as of May 12, reaching a peak of $19.48.
Venice Token price surged due to increased usage and token burning.
AI tokens have performed relatively strongly in recent weeks. For example, Bittensor (TAO) token has risen 9% in the past seven days. NEAR, ICP, Render, Virtuals, and FET have all risen more than 10% during this period.
In contrast, Venice Token surged over 65% during this period, becoming one of the best-performing tokens in the industry. This surge is attributed to its status as one of the few top projects truly bringing blockchain technology into the real world.
First, Venice AI operates a platform that integrates mainstream AI models such as DeepSeek, Grok, ChatGPT, and Claude. After a user enters a query, the platform selects the best model while emphasizing privacy protection.
Venice uses a freemium model. Users can use the platform for free or pay a tiered subscription fee, starting at $18 per month and going up to $200.
VVV tokens have surged this year, driven by ongoing hype surrounding AI, pushing top assets to all-time highs. For example, AI-related companies such as Sandisk, Micron, and Western Digital have led the S&P 500's gains this year.
Similarly, valuations of AI companies have surged, with analysts raising Anthropic's true valuation from $380 billion a few months ago to over $1 trillion. Its annualized run rate (ARR) has jumped to over $30 billion.
Therefore, traders believe Venice deserves a similar valuation due to its continued business growth. SimilarWeb data shows that Venice's website attracted 26 million visitors between February and April, a 15% year-over-year increase. Its monthly visits have now exceeded 8.8 million.
Accelerated token burning
Another reason for VVV's price increase is its improving tokenomics as the network continues to burn tokens. Data shows that the network is constantly reducing the number of tokens in circulation. This trend will continue as the fee burn rate increases. For example, the minimum subscription plan will burn $2 worth of tokens each time.
Therefore, according to its website data, the value of tokens burned last month exceeded $166,000, up from $146,000 the previous month. Approximately 42% of the circulating supply has now been burned.
Meanwhile, investors are buying VVV tokens as their yield has now risen to 14%. Users can use VVV tokens to mint DIEM tokens, earning $1 in credit daily for the Venice AI platform.
These data explain why VVV token trading volume on exchanges has continued to rise this month. Furthermore, open interest in futures contracts is also increasing, currently at its highest level this year.
Venice Token Price Technical Analysis
The daily chart shows that the VVV token price has been fluctuating within a narrow range of $0.9745 to $4.90 for an extended period. It has even formed a cup and handle pattern, a common bullish continuation signal in technical analysis.
This consolidation phase is part of the accumulation phase in Wyckoff theory. Therefore, the token has now entered the markup phase, which is typically characterized by FOMO (Fear of Missing Out).
The token is currently above all moving averages, indicating that bulls still have control. However, this also carries the risk of mean reversion, meaning the asset could revert to its historical mean.
This possibility of mean reversion exists because the token is severely overbought. Therefore, a pullback is possible, and the token may retest the key support level of $10.
