Why did the price of VIRTUAL fall?

Virtuals Protocol (VIRTUAL) dropped 1.16% in the last 24 hours, performing worse than the overall crypto market, which fell by 2.3%. The main reasons include profit-taking after its Robinhood listing, weak technical signals, and a decline in active users within its ecosystem.

1. Post-Listing Selloff – Investors took profits after VIRTUAL was listed on Robinhood on October 16 (Yahoo Finance).
2. Technical Weakness – The price fell below important moving averages, like the 7-day simple moving average (SMA) at $0.778.
3. Ecosystem User Drop – Daily active users have decreased by 90% since early October (Cointribune).

Deep Dive

1. Post-Listing Profit-Taking (Negative Impact)

Overview: VIRTUAL was added to Robinhood along with ASTER and XPL on October 16, which initially increased attention. However, the overall crypto market saw a 22% drop in weekly trading volume, and Bitcoin fell below $109,000, leading to a “sell-the-news” reaction.

What this means: When a coin gets listed on a popular platform like Robinhood, it often causes short-term price swings as traders sell to lock in profits, especially when the market is uncertain. VIRTUAL’s trading volume jumped 203% to $223.5 million in 24 hours, but selling pressure outweighed buying, showing that many investors were hesitant to hold during this market downturn (CMC Fear & Greed Index at 28/100 indicates fear).

What to watch: If trading volume stays above $200 million, it could mean investors are starting to accumulate again. But if the price falls below $0.75 (currently $0.77), it might test a key support level at $0.628, based on Fibonacci retracement.

2. Technical Downtrend Accelerates (Negative Impact)

Overview: Both the 7-day SMA ($0.778) and 30-day SMA ($1.05) are trending downward, confirming a bearish trend. The MACD indicator turned negative (-0.023), and the RSI (Relative Strength Index) at 35.98 is close to oversold but hasn’t yet signaled a reversal.

What this means: Traders are selling off as VIRTUAL underperforms important technical benchmarks. The price is now 26% below its recent high of $1.07 on October 10, with the next resistance level around $0.90 (the 50% Fibonacci retracement).

3. Ecosystem User Decline (Mixed Impact)

Overview: The number of active wallets using Virtuals Protocol’s AI agents dropped sharply from about 10,000 to between 1,000 and 1,500 daily in October, according to DappRadar (Cointribune).

What this means: Fewer active users can reduce the network’s usefulness and demand for staking. However, the protocol’s shift toward serving institutional decentralized finance (DeFi) clients, like Tether’s Plasma, could help balance out the loss of retail users over time.

Conclusion

VIRTUAL’s recent price drop reflects typical post-listing volatility, weakening technical indicators, and a decline in retail user activity. While its AI-agent platform still attracts institutional interest, short-term price action depends on holding above $0.75.

Key watch: Will VIRTUAL hold above its 7-day SMA ($0.778) to break the bearish trend? Keep an eye on Bitcoin’s price movements and developments in the AI sector following NVIDIA’s earnings report on October 29.

What could affect the price of VIRTUAL?

Virtuals Protocol is navigating a challenging mix of growing interest in AI and tough market conditions.

1. AI Agent Adoption – A new decentralized app (DApp) launching in two weeks and integration with Ethereum could spark renewed developer interest.
2. Crypto Market Sentiment – The market is dominated by fear, with a 55% drop year-to-date, putting pressure on speculative AI-related tokens.
3. Technical Weakness – The price is below key moving averages, and the Relative Strength Index (RSI) at 35 suggests the token may be oversold.

Deep Dive

1. AI Ecosystem Growth vs. User Decline (Mixed Impact)

Overview: Virtuals Protocol plans to launch an AI-focused DApp on October 31 and expand onto the Ethereum network (Virtuals_io). These moves aim to increase the platform’s usefulness. However, the number of active wallets has dropped sharply—down 90% from 10,000 to 1,500 daily since July (DappRadar). This decline suggests that retail users are losing interest, even though institutional investors continue to put money into decentralized finance (DeFi).

What this means: If the new DApp gains traction, it could help offset the recent price decline (down 27% in the last week). But for a lasting recovery, Virtuals needs to stop losing users. Past examples show that AI tokens like Fetch.ai (FET) surged over 100% after positive news from NVIDIA, indicating a similar opportunity with Virtuals’ upcoming launch.

2. Liquidity & Exchange Listings (Bullish Catalyst)

Overview: Virtuals Protocol was listed on Robinhood on October 16 (Coinspeaker), making it easier for more people to buy and sell the token. It’s already available on major platforms like Binance and Coinbase. Daily trading volume has jumped 200% to $221 million, though futures and options trading remains limited with $3.57 billion in open interest.

What this means: Higher liquidity generally means less price volatility. Virtuals’ turnover ratio (daily volume divided by market cap) is now 0.44, higher than competitors like Render (0.29) and Fetch.ai (0.18). However, with 655 million tokens circulating (65% of the total supply), there is ongoing selling pressure unless more holders lock up their tokens through staking, which currently stands at just 7.1 million.

3. Macro AI Sector Sentiment (High Beta Risk)

Overview: Virtuals Protocol’s impressive 623% annual gain is closely linked to NVIDIA’s strong performance in 2025. But the overall crypto market is cautious, with the Fear & Greed Index at 28 (CoinMarketCap) showing that investors are avoiding riskier altcoins. AI tokens have underperformed Bitcoin by 22% in the past month.

What this means: While Virtuals has solid partnerships with companies like Nethermind and Aikoi.ai, its price will likely depend on NVIDIA’s upcoming Q3 earnings report on November 1. If NVIDIA misses expectations, it could trigger a sell-off, especially since Virtuals has already dropped 40% in the last 90 days. Watch the $0.62 price level, which is a key support point based on Fibonacci retracement, to see if the price can hold.

Conclusion

Virtuals Protocol’s future price depends on how well it executes its AI product plans amid a cautious crypto market. The upcoming DApp launch and Ethereum integration offer potential for growth, but recent technical weakness and low market confidence suggest investors should remain cautious. The Robinhood listing could help attract new investors ahead of important market events in November.

What are people saying about VIRTUAL?

Virtuals Protocol is experiencing a mix of excitement and challenges as its ecosystem grows but the token price struggles. Here’s the latest:

1. New Unicorn launchpad encourages developers despite token price slump
2. USDC integration boosts hopes for practical use
3. Expansion in Asia contrasts with weak price trends
4. veVIRTUAL airdrop reset rewards loyal holders

In-Depth Look

1. @virtuals_io: Unicorn Launchpad Launch — Positive Signal

“Launched Unicorn – a merit-based AI agent launchpad with a 99% early-sell tax & 5% airdrop to stakers”
– @virtuals_io (132K followers · 18K impressions · 2025-10-08 06:22 UTC)
See original post
What this means: This new launchpad aims to boost developer activity by linking team rewards to performance. The high 99% tax on early sales discourages quick selling, encouraging long-term commitment.

2. @virtuals_io: USDC Payments Now Available — Positive Signal

“USDC now available for AI agents – enabling global transactions”
– @virtuals_io (132K followers · 9.2K impressions · 2025-08-12 17:07 UTC)
See original post
What this means: Allowing payments in USDC (a stable digital dollar) makes $VIRTUAL more useful for real-world AI services. However, how widely this is adopted will be key to its success.

3. @gkisokay: Small-Cap Agent Rally — Mixed Signals

“$VIRTUAL drops 9% while PREDI (+16%) and BILLY (+10%) lead small-cap gains – rotation in progress”
– @gkisokay (89K followers · 6.7K impressions · 2025-10-08 06:22 UTC)
See original post
What this means: While some smaller projects within the ecosystem are gaining momentum, the main $VIRTUAL token has fallen 55% over the last quarter, suggesting investors are shifting focus.

4. @virtuals_io: veVIRTUAL Airdrop Reset — Neutral Impact

“All veVIRTUAL holders are now eligible for the next airdrop – no action needed”
– @virtuals_io (132K followers · 14K impressions · 2025-07-24 11:17 UTC)
See original post
What this means: This rewards long-term token holders but could increase token supply, potentially putting downward pressure on price if many tokens are sold after the airdrop.

Summary

The outlook for $VIRTUAL is mixed. On one hand, new tools like the Unicorn launchpad and expansion into Asian markets show promise for growth. On the other hand, the token price remains weak, down 38% month-over-month, with technical indicators suggesting it’s oversold. Key levels to watch are $1.0648 (recent low) — if it breaks below this, prices may fall further. Holding above $1.10 could indicate buyers stepping in and possible price recovery.

What is the latest news about VIRTUAL?

Virtuals Protocol is gaining attention by joining Robinhood’s platform, but it’s also facing challenges keeping users engaged. Here’s a quick summary of the latest updates:

1. Robinhood Listing (October 16, 2025) – VIRTUAL becomes available on Robinhood, giving it wider exposure despite ongoing market ups and downs.
2. User Drop in SocialFi (October 10, 2025) – The number of daily active wallets using Virtuals Protocol dropped by 90% in the third quarter of 2025, showing difficulties in attracting and keeping users.
3. AI Sector Growth (October 2, 2025) – Thanks to a surge in NVIDIA’s stock, crypto AI tokens like VIRTUAL saw gains, with VIRTUAL rising 7.2%.

In-Depth Look

1. Robinhood Listing (October 16, 2025)

What happened:
Robinhood added Virtuals Protocol (VIRTUAL) to its platform, alongside other crypto projects like Binance’s ASTER and Tether’s Plasma (XPL). This move is part of Robinhood’s “Blue Carpet” policy, which focuses on listing projects with strong ecosystems and real-world use cases. Virtuals Protocol is an AI-driven network that supports autonomous agents for managing decentralized finance (DeFi) portfolios and executing smart contracts.

Why it matters:
Being listed on Robinhood is a positive step for VIRTUAL because it makes the token more accessible to everyday investors and confirms its technical value. However, the overall crypto market is still unstable — Bitcoin recently dropped below $109,000, and Robinhood’s stock price fell 12% over five days, reflecting cautious investor sentiment (Yahoo Finance).

2. SocialFi User Drop (October 10, 2025)

What happened:
The number of daily active wallets interacting with Virtuals Protocol fell sharply from about 10,000 to between 1,000 and 1,500 during the third quarter of 2025, according to DappRadar. This decline is part of a broader trend where decentralized app (dApp) users dropped 22.4% across the sector. Many mainstream users find limited value in these apps despite their technological advances.

Why it matters:
This trend is a warning sign for VIRTUAL, showing it’s struggling to keep non-technical users engaged. While the total value locked (TVL) in DeFi continues to grow — with Tether’s Plasma reaching $8 billion — Virtuals Protocol’s consumer-facing products are having trouble maintaining user interest (Cointribune).

3. AI Sector Surge (October 2, 2025)

What happened:
VIRTUAL’s price increased by 7.2% to $1.17, riding the wave of NVIDIA’s stock hitting record highs. This helped boost the overall market for crypto AI tokens, which now have a combined market value of over $32 billion. Smaller AI agent tokens like PREDI saw even bigger gains, up nearly 22%.

Why it matters:
This is a mixed signal for VIRTUAL. While NVIDIA’s leadership in AI is helping the sector grow, VIRTUAL’s share of attention in the AI agent market dropped slightly to 17.75%, indicating growing competition (Coinspeaker).

Conclusion

Virtuals Protocol is gaining recognition from big players like Robinhood but faces challenges in keeping everyday users engaged. Its AI-driven infrastructure fits well with Ethereum’s goals, but the key question remains: can it turn its technical strengths into steady user growth in a cautious market environment?

What is expected in the development of VIRTUAL?

Virtuals Protocol’s roadmap is centered on growing its AI agent ecosystem with these key goals:

1. AgentFi Ecosystem Growth (2025) – Expanding partnerships and AI-driven financial products.
2. Unicorn Launch System (Q4 2025) – Introducing a new way to launch AI agent tokens based on real performance.
3. Global Builder Workshops (Ongoing) – Hosting developer events across Asia and beyond to boost adoption.
4. veVIRTUAL Governance Upgrades (2026) – Making decision-making more decentralized and community-driven.

In-Depth Look

1. AgentFi Ecosystem Growth (2025)

What’s happening: Virtuals Protocol is focusing on connecting with decentralized finance (DeFi) platforms and AI infrastructure. For example, partnerships like the one with Pendle Finance (link) allow AI agents to manage investment strategies automatically. Collaborations with Coinbase Retail DEX help improve how easily agent tokens can be traded.

Why it matters: This is positive for $VIRTUAL because stronger DeFi connections could increase demand for the token, which is used for transactions between AI agents. However, there is competition from other AI platforms like Fetch.ai, which could affect how widely Virtuals is adopted.

2. Unicorn Launch System (Q4 2025)

What’s happening: Virtuals is replacing its original token launch model with the Unicorn Launch System. This new system links the value of AI agent tokens to measurable performance results. Founders need to reach certain funding goals, and $VIRTUAL holders get ecosystem rewards through airdrops (CryptoBriefing).

Why it matters: This change could reduce risky, speculative token launches, which is good for long-term stability but might slow down quick growth. The system’s success depends on attracting high-quality AI projects.

3. Global Builder Workshops (Ongoing)

What’s happening: After successful events in Shenzhen and Hangzhou, Virtuals plans to hold workshops in over six major tech hubs across Asia through 2026. These workshops focus on helping developers create AI agents for areas like prediction markets, cybersecurity, and DeFi (link).

Why it matters: This is a positive sign for long-term growth because it encourages grassroots developer involvement, which can lead to organic expansion of the ecosystem. However, managing events across different cultures and regions can be challenging.

4. veVIRTUAL Governance Upgrades (2026)

What’s happening: The first wave of proposals led to the creation of the Virtuals Foundation, which will roll out improved voting systems for managing funds and protocol fees in 2026 (link).

Why it matters: This is good news if it attracts institutional investors to participate in governance. On the other hand, if voter turnout remains low, it could limit the protocol’s growth. Given that Bitcoin currently dominates about 58.89% of the market, investors may be cautious about putting money into alternative coin governance.

Conclusion

Virtuals Protocol is moving from building its technology to growing its ecosystem. Key growth areas include integrating AI agents with DeFi and expanding into Asian markets. The success of the Unicorn Launch System in late 2025 will be crucial in determining if $VIRTUAL becomes the main platform for AI-driven autonomous economies. It will also be interesting to see how competitors like Bittensor respond to Virtuals’ focus on practical DeFi partnerships.

What updates are there in the VIRTUAL code base?

Virtuals Protocol is making important improvements focused on governance, security, and deploying AI agents across different blockchains.

1. PokPok Agent Bug Fix (August 20, 2025) – Fixed a token distribution issue during launch to ensure smooth agent operations.
2. Genesis Emissions Update (July 15, 2025) – Changed reward points to favor AI agents that actively provide useful services.
3. Governance Portal Launch (July 1, 2025) – Introduced on-chain voting for veVIRTUAL holders to help guide protocol decisions.

Deep Dive

1. PokPok Agent Bug Fix (August 20, 2025)

Overview: During the launch of the $CTDA token, a technical problem caused a mismatch in the token pool. The team quickly fixed this by deploying a new contract and disabling the faulty one, keeping liquidity stable.
The fix was completed within an hour, allowing users to claim tokens without losing out. Old contracts were retired, and compensation was provided when necessary.
What this means: This is a positive sign for VIRTUAL because it shows the team can quickly solve problems, reducing disruptions for users and building trust in new agent launches. (Source)

2. Genesis Emissions Update (July 15, 2025)

Overview: The system that rewards AI agents was updated to give more points to those connected with the Agent Coordination Protocol (ACP) and those actively trading.
This change puts more emphasis on agents that contribute real economic value, aligning rewards with actual use on the blockchain.
What this means: This update is neutral for VIRTUAL. It encourages meaningful participation over speculation, which could lead to more sustainable growth of AI agents. (Source)

3. Governance Portal Launch (July 1, 2025)

Overview: A new decentralized governance portal was launched, allowing veVIRTUAL holders to propose and vote on protocol upgrades, funding projects, and managing the treasury.
To pass, proposals need at least 25% voter participation and a 72-hour voting period, similar to governance models used by popular DeFi platforms like Uniswap.
What this means: This is a strong positive for VIRTUAL because it gives the community more control over the protocol’s future, helping ensure decisions reflect user priorities. (Source)

Conclusion

Virtuals Protocol’s recent updates highlight its focus on reliability (bug fixes), rewarding useful activity (emissions), and community-driven governance. These steps are important for growing its AI agent ecosystem. It will be interesting to see how these changes affect developer interest and the variety of AI agents in the last quarter of 2025.