The market for memecoins is always full of surprises, but few developments have generated as much excitement as Elon Musk’s recent purchase of Vine, which now belongs to his company xAI.
Since the Vine acquisition was announced, trading volume and price movement around $VINE, the token connected to the Vine platform, have picked up. There is, of course, a rumor going around that Vine might somehow be relaunched as an artificial intelligence (AI)-driven alternative to TikTok, and that development could have some wild memecoin implications.
Since the news was announced, the price of $VINE has shown a significant bullish sentiment, with smart money actively accumulating the token. On March 30 alone, there was a net inflow of over $100K, so the market has clearly reacted positively to the idea of a Vine revival. What many investors and traders now seem to be wondering is whether this will kick off a more sustained trend upward or if it’s just a temporary blip before the market corrects itself.
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Vine’s Acquisition by xAI: A New Chapter in Social Media?
Vine, the app for making short, very short, videos, was very popular. It was so popular that it was a video-sharing platform that, like Instagram, existed very much in the space alongside the then-ubiquitous Facebook and the not-very-missed MySpace. If you wanted to share a video with your friends, it was an option. It was also a thing that comedians did and a space in which performance was what it was about.
Should Vine make a comeback in the form of an AI-enhanced platform, it could upend the current short-form video hierarchy, where TikTok rules. The thought of combining Elon Musk’s AI expertise with the preexisting brand of Vine has investors dreaming up new scenarios that lead to considerable capital inflows in $VINE. As with anything these days, from stocks to real estate, there is a search afoot for the next big thing in crypto. The prospect of a relaunch of Vine as a player—and not just any player, but a major one—in the social media field is an enticing proposition.
Smart Money Flows Into $VINE: A Positive Signal for the Token
Following the first announcement of the takeover, investor sentiment toward the $VINE token has gone through the roof. Inflows of the token have been steady ever since, and I think there might be a good reason for it. Despite the fact that the token had fallen back to about $50 from an all-time high of nearly $200 a few months ago, we had already been primed to expect some kind of crypto bull market coming soon.
On March 30, net inflows into $VINE reached more than $100K, showing a clear vote of confidence for the token and the rumored Vine relaunch. What we’re seeing now, and even more so in the last few days, is a repositioning of sorts by investors, ahead of the relaunch and the tokenomics that will accompany it. The most favorable outcome for $VINE is if the smart money—obviously with strong confidence in the direction of the token—gains interest and even further inflates the token’s value during the relaunch.
Is $Vine rebounding for Rumoured Vine launch in July?
Elon Musk's company, xAI, acquired Vine, sparking discussions about its potential relaunch with AI integration to rival platforms like TikTok.
Since the news, we have seen inflows from smart money into $vine
Net flow peaked… pic.twitter.com/aqQZmuLHOl
— Stalkchain (@StalkHQ) March 31, 2025
Another remarkable deal took place on April 1, when a wallet received an inflow of $86.96K. This particular wallet now possesses 4.3 million $VINE tokens, which are currently worth about $177K. The inflow on April 1 was slightly less than what we saw on March 31, but the fact that we had another inflow on top of what was already a pretty full wallet indicates that $VINE seems to be very much in demand right now.
That demand could be pinned on the ongoing rumors surrounding the potential relaunch of $VINE. With that in mind, the fact that capital is flowing into the $VINE token seems to be a pretty clear sign that anyone investing in the token is confident that its value is likely to increase sooner rather than later.
Continued Interest Despite Market Volatility
Sustained buying pressure surrounding $VINE is one of the most significant aspects of recent activity tied to the token. This is noteworthy because, in the current crypto market, we have seen a lot of volatility, where even the broader market can experience sudden swings. But throughout this tumultuous period, $VINE has continued to see positive net flows and, by extension, a lot of consistent and reliable buying.
It is critical to remember, though, that the market is a fickle beast, and the present bullish sentiment could turn around just as easily as it came. In the end, $VINE is quite likely to follow the outcome of the Vine platform as a whole. If the relaunch is a flop or does not hook users, then I expect $VINE might just go back to doing exactly what it has done since a little before Thanksgiving.
Nonetheless, the current trend indicates that investors are eager to wager on the chances of Vine making a vigorous return under the auspices of xAI. The prospect of an AI-revamped platform could give Vine a leg up on its rival platforms, affording it an unusual value differentiator in the overstuffed social media space.
What’s Next for $VINE?
The future of $VINE is directly linked to what happens next with the relaunch of Vine. Should xAI revitalize the platform and its brand by successfully integrating AI into the new Vine, then the potential for significant future gains in $VINE is real. Conversely, if this isn’t the outcome and the relaunch doesn’t meet the high expectations set for it, then we’re likely looking at a sharp correction for $VINE.
Currently, we see that there is an overall positive sentiment in the market that could last for some time. This situation is also supported by the fact that smart money seems not to be done yet and is still accumulating the token. Whether this positive momentum will last as more details about the relaunch emerge remains uncertain, but the inflows we are seeing into $VINE suggest that some investors are definitely feeling positive about its prospects.
To sum up, the factors driving the price movements of $VINE right now have to do with speculation not only about the relaunch of the Vine platform but also about its ownership under xAI. The current price bull run of $VINE may not just be a bear trap, though, as some might speculate. Even if the coming months see the price of $VINE beginning to truly rebound, the longevity of the relaunch and the Vine platform itself may mean those who invest in $VINE should watch for platform developments closely. If the platform doesn’t succeed, the $VINE price bull run doesn’t matter.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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