Bittensor TAO Breaks Resistance, Bulls Target $540 With Momentum
- Bittensor (TAO) decisively breaks long-standing resistance, ending the downtrend and igniting investor enthusiasm with strong momentum.
- The price surge above $460, with volume confirmation, signals strong institutional and retail trader participation.
- RSI, MACD, and ADX all show bullish strength, confirming momentum and reinforcing the uptrends credibility.
- Clearing $480 sets sights on $540; staying above $450 keeps the bullish trajectory firmly in play.
Following weeks of sideways movement, Bittensor (TAO) has broken out of its long-standing downtrend firmly, crossing above important resistance levels and reigniting investor interest.
Highlights a clear Break of Structure (BOS) above $270 as a confirmation of the reversal thesis quietly building up in the recent sessions. This structural break has more than a symbolic connotation; it represents the shift from a phase of accumulation to a trending bullish phase.
The price did not simply break through resistance but also broke through the upper levels of the descending channel it had been contained in all along.
TAOs recent price rally took it past the $460 mark with robust volume confirmation, a common technical indicator that regularly precedes hard following by both institutions and also by retail traders.
This action solidifies that sellers have now lost control of the area long thought to be impenetrable. Market mood has shifted as buyers recapture controlling power. The next natural resistance lies at $540, where traders will probably weigh profit-taking or continuations.
Technical Indicators Align Bullishly for TAO
Underpinning this price movement is a set of technical indicators moving in bullish synchrony. The Relative Strength Index stands at 67.28, near the level of overbought but signaling good buying power. The level of the RSI indicates market strength, though traders are cautious about short-run consolidation.
The Moving Average Convergence Divergence (MACD) displays a persisting bullish crossover with widening histogram bars, indicating building momentum instead of weakening. The fact that the MACD lies above both the signal and baseline levels indicates strengthening confidence in the bull trend.
Most indicative of all is the ADX (Average Directional Index), which registers at a whopping 48.68. Anything above 25 is a sign of a strong trend; above 40 is exceptional. This positions TAO as among the best trending symbols on the charts currently and lends authority to the breakout and further fuels upside expectations.
$540 in Sight, But Can Bulls Hold the Line?
With $480 out of the way now, the attention turns to the next key resistance at $540. Although the trend is now bullish, short pullbacks or retests are a possibility, particularly as the RSI is so close to reaching the overbought levels.
But with increased volume, confirmation of momentum, and a clean technical breakout, the bull has a distinct upper hand. Rishi Menon opines as long as TAO stays above $450, the route to $540 remains not only possible but likely.
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Read more: https://www.tronweekly.com/bittensor-tao-breaks-resistance-bull-target-540/
Text source: TronWeekly
