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bitcoin
Bitcoin (BITCOIN)
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binancecoin
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solana
Solana (SOLANA)
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ripple
XRP (RIPPLE)
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Shiba Inu (SHIBA-INU)
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Bittensor Price Analysis: TAO Eyes $450 as Bulls Regain Control

Highlights:

  • TAO is gaining upside momentum after pushing through $392.6 resistance
  • Continuation of the rally could push TAO to $450 short-term
  • TAO rally driven by strong AI narrative and Trump’s post easing market fears 

Bittensor (TAO) is one of the best cryptocurrencies in the market today. At the time of going to press, Bittensor was trading at $420.28, up by 32.68%. At the same time, Bittensor trading volumes have shot up by 130% up standing at $581.2 million. Bittensor’s rally today is a reversal of the sharp correction that was experienced on Friday, which saw massive liquidations across the financial markets. 

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This is an indicator that bullish momentum is on the rise, and that TAO could be headed much higher in the short to medium term. There are a couple of factors that support a continuation of Bittensor’s rally in the short to medium term.

Trump’s Social Media Post Uplifts TAO and Other Cryptocurrencies 

One of them is the recent Trump post on Truth Social urging calm over the ongoing trade spat with China. This has signaled to the markets that the aggressive tone that Trump had set on Friday ahead of his meeting with China’s president later this month may be softening.

This positive signal from Trump has sent money piling into cryptocurrencies as investors rushed to buy one of the biggest single-day dips in the history of the cryptocurrency market. The rush to buy the dip could trigger a rally to new highs as FOMO builds up across the market. For Bittensor, which already had momentum, the price rally could trigger a new rush to buy going into the future, with prices as high as $500 a potential target in the very short term. 

TAO Continues to Benefit From Strong Hype Around AI

Bittensor’s momentum is particularly stronger than other cryptocurrencies because it also has the backing of a narrative. AI has been one of the strongest narratives in the last two years. It is so strong that big tech companies have been the biggest drivers of the rallies in the S&P 500 and the Nasdaq in the same period. This narrative is now taking root in the cryptocurrency market as well, as innovation points to the need for decentralization and transparency in the AI space. For this reason, AI cryptocurrencies are gaining momentum quickly.

Bittensor, being one of the leading AI cryptocurrencies in the market at the moment, is driving the momentum. By the fact that Bittensor acts like the S&P 500 of decentralized AI, investors are likely to keep pushing more into it compared to other AI cryptocurrencies. This may explain why, even on Friday’s marketwide correction that saw some cryptocurrencies drop by up to 50%, Bittensor was the least affected and has been one of the quickest to recover all losses.

Institutional Money Eyeing Bittensor

Bittensor’s AI narrative is particularly helpful in drawing in institutional money. Institutional capital is one of the key drivers of market momentum. This is quite evident in the price action of Bitcoin since the ETFs came up. Currently, there is a lot of investor interest in Bittensor by companies looking to build cryptocurrency treasuries. 

At the same time, Grayscale recently filed a Form 10 with the SEC for the registration of a Bittensor Trust. These moves are likely to make it easier for institutional money to invest in Bittensor, a factor that could send the price rocketing to new highs going into the future.

TAO Eyes $450 as Bulls Gain Momentum

Bittensor bulls are gaining momentum after breaching the 48-hour resistance at $392.6. This is an indicator that bullish momentum is getting stronger. If the current momentum continues, TAO could be headed to $450 in the short term.

TAO
Source: TradingView

On the other hand, if bulls lose momentum due to broader market factors, a correction to $392.6, which is now support, could follow. A breach of $392.6 could see TAO drop to around $319.8 in the short term. Of these two scenarios, the odds are higher for a rally to $450. That’s because bullish momentum is on the rise across the market, and TAO has the narrative backing it up.

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