- The Bittensor price recovery is poised for 20% surge before challenging the resistance trendline of a falling wedge pattern.
- Market data indicates that positive commentary only slightly outweighs negative sentiment with a 1.5:1 ratio.
- A potential bullish crossover between the 20-and-200-day exponential moving average would reinforce the buying pressure in TAO.
TAO, the native cryptocurrency of the Bittensor protocol, jumped over 3% on March 25th to current trading at $350. Following the broader market uptick, the coin price initially reached an intraday high of $372, before reverting with a long-wick rejection due to renewed supply pressure. However, this downtick may reflect a post-rally pullback, which typically allows buyers to recoup exhausted bullish momentum. Current market skepticism toward Bittensor creates a divergence between price and sentiment, implying that the rally has more ‘room to run.’
TAO’s Social Volume Spikes Without Peak Hype
In the past three weeks, the Bittensor price has surged from $173.8 to current trading value of $360, registering a gain of 107%. The project has now gone to 26th rank in cryptocurrency rankings as capital is moving towards decentralized artificial intelligence ventures.
The platform is like a marketplace that allows machine learning models to compete with each other for rewards based on the quality of the output. Activity runs through independent subnets addressing specific areas like big language model training, compute resources or forecasting. These subnets are operated independently but remain economically tied to the main token.
Online discussions in X, Reddit, Telegram and other channels have surged. The most recent bout of social volume is the second most significant in six months, surpassed only by the frenzy surrounding TAO’s all-time high of close to $529 in early November.
According to Santiment data, the positive comments exceed negative comments by only 1.5 to 1, suggesting that the market participants are now as interested in TAO surge as to the other altcoin.
However, this could be beneficial for TAO coin as its crypto price trajectory has often moved opposite to broader market sentiment. Thus, the Bittensor price has more room to grow before the crowd reaches the FOMO (fear or mission out) phase.
Bittensor Price Poised To Retests a Make-or-Breakout Barrier
The daily chart analysis of Bittensor price shows a strong V-shaped recovery in the past four months. This upswing back by increasing trading volume suggests a sufficient demand in the market to drive sustainable growth.
Interestingly, the price recovery emerged from the bottom trendline of a falling wedge pattern in the daily chart. Since July 2024, the Bittensor price has resonated strictly within the two converging trendlines of this pattern as they offer dynamic resistance and support to traders.
If the pattern holds true, the current recovery should rise another 20% and challenge the overhead trendline at $430. This potential retest would act as a pivot level for TAO’s near-term trajectory.
A bullish breakout from this barrier will signal a major trend reversal and bolster price for a rally to $540.
On the contrary, a bearish reversal from the resistance trendline will renew the selling pressure in price and spark a fresh bear cycle.
Source: https://www.cryptonewsz.com/bittensor-price-rally-is-far-from-over/
