Virtual Protocol Revenue Plunges 98% VIRTUAL Drops 90%
Virtual Protocol has seen a drastic decline in activity and revenue, with figures dropping over 95% since the last quarter. Consequently, VIRTUAL, its native token, has plunged 90% from its all-time high of $5.1.
Virtual Protocol’s Revenue Crash
According to Dune Analytics, Virtual Protocol’s trading revenue has nosedived from a peak of $976K in mid-January to a mere $13K, marking a significant 98% drop. The downturn aligns with a sharp decline in network activity as demand for AI agents continues to wane.
Additionally, the number of daily AI agents created on the launchpad has also stagnated. While daily AI agent creation surged to 1,365 last November, it has now fallen below 10 per day—a staggering 99% decline in activity.
Virtual Protocol’s Daily Trading Revenue (Source: Dune Analytics)
VIRTUAL Token Takes a Hit
The declining on-chain metrics have been mirrored in VIRTUAL’s price action. After reaching a peak of $5.1 in early January, the token has lost nearly all of its gains from the previous quarter, trading at just $0.56 at the time of writing—an 89% decline in Q1 2025.
However, this downturn is not unique to VIRTUAL. The entire AI agent sector has faced a similar downturn, with Flipside data showing that weekly trading volume for AI agent tokens plummeted from nearly $2.5B in December to just $54M in early March. This indicates a broader decline in trader interest and appetite for the segment.
Trading Data (Source: VIRTUAL/USDT, TradingView)
A Silver Lining?
Despite these challenges, there are signs of resilience. Blockworks research analyst Dan Smith highlighted that Virtual Protocol had wisely diversified its revenue into wrapped Bitcoin.
“But the team was smart to diversify revenue out of its own token. They now hold $12.1M of cbBTC, extending their runway to iterate on their product,” Smith noted in an X post.
Virtual’s Net Revenue & Assets (Source: Blockworks)
What’s Next for VIRTUAL?
The path to recovery for VIRTUAL remains uncertain. A broader market sentiment shift and renewed interest in AI agent applications would be critical for a potential rebound.
From a technical perspective, key liquidity levels at $0.8 and $0.6, as highlighted in the liquidation heatmap, may play a role in any short-term relief rally. Historically, liquidity-driven price movements tend to target areas of high liquidity, making the $0.8 and $0.7 range key levels to watch for a potential bounce.
For now, the future of Virtual Protocol hinges on its ability to regain market confidence and reignite demand for AI-powered applications.
