Here is where TAO price could head next | Credit: Hameem Sarwar
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Key Takeaways
TAO is gaining bullish momentum after breaking its downtrend, with rising buying pressure.
The $350 resistance level is critical, and a breakout above it could trigger further gains.
Increasing leverage and open interest support the rally but also raise the risk of a downside.
Bittensor (TAO) is no longer moving sideways; it’s pushing higher. Following a clear break from its downtrend, the market is beginning to favor bulls.
At the same time, buying pressure is increasing, pushing the TAO’s price roughly 10% higher over the past 24 hours.
However, a major resistance level still stands in the way, and it could decide what comes next.
TAO Eyes Higher Levels
TAO is regaining bullish momentum, and the shift is becoming increasingly evident.
After a strong, impulsive rally from the $170 region, the price established a clear uptrend marked by consistently higher highs and higher lows.
However, momentum slowed after a sharp rejection near the $370 level, prompting a period of consolidation.
Since then, TAO’s price has traded within a defined range, holding firm above the $295 support zone while repeatedly testing the $345–$350 resistance area.
This behavior is significant because it reflects absorption rather than weakness.
Sellers have failed to push prices lower, while buyers continue to defend key demand zones. As a result, the structure remains constructive.
Now, TAO’s price is once again approaching the upper boundary of this range. Notably, multiple rejections just below $350 have created a cluster of equal highs.
This signals the presence of buy-side liquidity resting above the level.
Typically, such liquidity pools act as magnets for price, especially when momentum begins to build underneath.
Momentum indicators on the 4-hour chart further support this outlook.
The Awesome Oscillator (AO) has flipped back into positive territory, with expanding green histogram bars indicating strengthening bullish momentum.
Meanwhile, the Money Flow Index (MFI) is climbing toward the upper range, currently around 67, reflecting increasing capital inflows without yet signaling exhaustion.
Consequently, both momentum and liquidity dynamics are aligning in favor of a potential upside expansion.
Looking ahead, the $350 level remains the immediate trigger point.
A break above this zone would likely sweep resting liquidity and open the path for TAO’s price to hit the $370 resistance, where the previous rejection occurred.
Rising Leverage Fuels Rally
On the derivatives side, Open Interest (OI) surged by 17% in the last 24 hours, reinforcing the bullish narrative as new positions continue to build.
Furthermore, the increase alongside rising prices suggests strong conviction from market participants rather than short covering.
This alignment typically supports trend continuation. However, elevated leverage introduces risk.
If momentum weakens or price faces rejection near resistance, it could trigger cascading liquidations, amplifying downside volatility in the short term for TAO’s price.
Price then broke above the neckline near $294, confirming the pattern. The recent consolidation above this level forms a handle, which typically signals a continuation phase.
Price is now trading around $340, holding above the neckline. This is a key bullish signal. As long as TAO remains above $294, the breakout structure stays valid.
Momentum, however, is mixed. The MACD remains positive but is flattening, suggesting momentum is slowing slightly after the recent rally.
At the same time, CMF remains negative, indicating that strong capital inflows have not yet fully returned.
Despite this, the structure remains clearly bullish.
Looking ahead, if TAO’s price holds above $294 and continues to build above $340, the next target sits near $386 (0.618 Fib).
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
