Bittensor (TAO) has experienced a surge of 60% over the past three weeks, thanks to an influx of buyers. However, the cryptocurrency is currently facing resistance at the 200-day EMA band, hindering its upward progress.
In the last 24 hours, Bittensor (TAO) saw a 7.10% decrease in market value but a 25.39% increase in trading volume. Its market value stands at $2.257 billion, with a trading volume of $63.545 million. Only 7.122 million TAOs are currently in circulation, accounting for about 33.91% of the total supply of 21 million TAOs. Despite the relatively low circulating supply, Bittensor (TAO) has managed to attract significant interest from investors due to its low total supply compared to other cryptocurrencies.
Bears have attempted to suppress the bullish momentum near $358, resulting in a temporary pause in the price movement. The liquidation data over the past 24 hours shows that longs stood at $95.06K, while shorts were at $17.48K.
The open interest currently stands at $48.63 million, with 12.06% of contracts closing within 24 hours. However, the derivatives volume has surged by 37.40% to reach $112.15 million.
According to analyst @SatoshiFlipper, there is optimism surrounding Bittensor (TAO) and the potential for nearly 2x gains in the near future. The analyst shared a chart on Twitter, highlighting a potential price target of $640 or higher, dependent on buyer activity.
The TAO 1-D price chart shows positive signs, such as the price surpassing the 50-day EMA band and displaying resilience in surpassing the 200-day EMA. If the price manages to break above $358, it could open up the path for further upward movement. Additionally, the MACD histogram sits at 5.46, and the RSI at 55.46, indicating a sideways to bullish shift.
Further analysis of the chart reveals that the TAO token recently experienced a 120-day correction in the form of a falling wedge pattern. However, it has since broken out of this pattern, signaling bullish potential. In the past 20 days, the TAO price has grown by over 65% from its historical key support level.
If the price can surpass the 200-day EMA band and $358, the next resistance levels to watch are $436 and $531. However, if the price falls back into the falling wedge pattern, the bullish significance will diminish. A decline below $300 could potentially push the price towards $200.
Overall, Bittensor (TAO) has seen significant growth over the past three weeks, driven by low supply and strong investor interest. While facing resistance at $358, bulls have their sights set on targets of $436 and $531, while bears are eyeing $300 and $200. The breakout from the falling wedge pattern suggests bullish potential for the cryptocurrency.