Bittensor (TAO) Price Bounces off Support, Eyes $418

TAO, the altcoin that powers Bittensor’s decentralized machine learning network, has performed well in the past 24 hours. On Thursday, its bulls successfully defended the crucial $317.88 support level. 

As a result, the cryptocurrency has rebounded, gaining 8% in the past 24 hours.

Bittensor Continues To Trend Within Bullish Channel

Since July 3, TAO has trended within an ascending channel. This channel is formed when an asset’s price moves between two upward-sloping parallel lines. The upper line of the channel acts as resistance, while the lower line serves as support. 

Since it began to trade within this channel, TAO has faced resistance at $364.15 and found support at $317.88. The altcoin’s price began to trend toward support on July 19. However, by July 25, the bulls successfully defended this level, and the token has since resumed its uptrend. 

Read More: Top 9 Safest Crypto Exchanges in 2024

Bittensor Price Analysis. Source: TradingView

When an asset’s price bounces off support like this, it means the price has fallen to a level where there is enough buying interest to prevent it from falling further. This causes the price to reverse direction and start rising. At $353 at press time, TAO’s price has surged by 8% in the past 24 hours. 

TAO’s rising Accumulation/Distribution (A/D) Line hints at an uptick in the token’s accumulation. This indicator gauges the cumulative flow of money into and out of an asset over a specified period of time. When it rises, it suggests that liquidity flows into the asset, indicating accumulation.

Further, TAO’s Relative Strength Index (RSI) is in an uptrend at 63.78 at press time. This signals that buying pressure outweighs selling activity amongst market participants. 

Bittensor Price Analysis. Source: TradingView

An asset’s RSI measures its overbought and oversold market conditions. At 63.78, TAO’s RSI signals a spike in token accumulation.

TAO Price Prediction: A Break Above Resistance is Possible

According to Coinglass data, TAO’s funding rate across cryptocurrency exchanges has consistently remained positive. This signals that its futures traders have steadily taken long positions through varying market cycles. It suggests that the sentiment toward the altcoin is bullish b At press time, the token’s funding rate is 0.0075%.

Bittensor Funding Rate. Source: Coinglass

The token’s price may break above resistance to trade at a monthly high of $417 if accumulation persists and sentiment remains positive.

Read More: How To Invest in Artificial Intelligence (AI) Cryptocurrencies?

Bittensor Price Analysis. Source: TradingView

However, any profit-taking activity at this point can push TAO’s price below support and toward $200.