SKYAI token (SKYAI) jumped 44.45% to a price of $0.5792 in the 24 hours leading up to 15:30 UTC on May 12, while Ondo (ONDO) sank 10.28%, signaling a sharp rotation in crypto markets from real-world asset (RWA) projects into tokens associated with artificial intelligence.
The move reflects a broader shift in speculative interest, as capital moves from established large-cap tokens into narrative-driven sectors. "The breadth of the gainers list — spanning AI infrastructure, DeFi tooling and cross-chain protocols — is consistent with the early-altseason rotation pattern that analysts have been flagging this week," according to a recent market report. The global agentic AI market is projected to grow from $7.29 billion in 2025 to $139.19 billion by 2034, and tokens with exposure to that theme are attracting significant flows.
The rally in AI-related tokens saw SKYAI become the day's top performer among the top 100 cryptocurrencies by market capitalization. Other AI-adjacent tokens also posted gains, with BUILDon (BUILD) adding 15.32% to $0.6454. In contrast, the RWA sector saw profit-taking, with ONDO leading the losses despite a string of positive announcements. The sell-off was attributed to a classic “buy the rumor, sell the news” dynamic, where traders who had accumulated ONDO ahead of recent partnership news rotated their profits into higher-momentum AI plays.
For traders, this divergence underscores a volatile market where narratives can shift quickly. ONDO’s 10% drop occurred even as it announced landmark collaborations, including tokenizing assets on Hyperliquid’s HyperEVM and participating in a Ripple settlement test with JPMorgan and Mastercard. The decline from its recent highs, where it rallied nearly 50%, was also amplified by on-chain data showing team-controlled wallets transferred approximately 150 million ONDO tokens, with over 21 million sent to exchanges, creating perceived selling pressure. This rotation suggests that while the RWA narrative has strong long-term fundamentals, short-term momentum is currently favoring the AI sector.
This article is for informational purposes only and does not constitute investment advice.
