The digital currency world has always been known for its volatility and unpredictability. Recently, however, a new player by the name of Bittensor (TAO) has entered the arena.
Over the past few days, this altcoin has experienced a huge price surge that has caused quite a stir among traders and investors alike. On August 5th, TAO was trading at $181.79 – just over twenty-four hours later.
It had jumped up to $316.93, representing an impressive increase of 15.61% within such a short period of time; naturally sparking curiosity as to what is driving this rally and if there are any foundations behind it.
The Unseen Forces That Have Sparked Interest
One significant factor which has played into TAO’s recent success is Grayscale’s involvement as one of the top cryptocurrency asset managers globally.
In addition to this endorsement coming hot on the heels of their setting up a trust centered around artificial intelligence tokens; another AI theme being added soon thereafter featuring different ones including Bittensor themselves.
Decentralized were announced on August 7th also where they placed trust through them too much like what happened before with other such investments made by Grayscale causing demand for TAOs to skyrocket.
Following Grayscale’s announcement about adding Bittensor into its new investment trusts based on decentralized AI, open interest surged in derivatives markets exposed to fluctuations in price levels thus reflecting changes.
Between buyers and sellers contracts which almost doubled from seventeen million dollars ($17m). This signifies an increased number of traders participating along with increased liquidity available through contracts based on these tokens.
- Positive Weighted Sentiment: The weighted sentiment showed optimistic comments made by people regarding the future growth potential associated with this particular altcoin.
- Although the overall positive tone remains a good indicator, it suggests that the market may continue going up for some time before it starts falling down again, hence bullishness will persist until bearishness takes over completely.
Are We Heading Towards $360 for Each TAO Coin?
The daily chart of TAO showed a rounded top pattern which usually indicates a bearish market trend before the recent price surge. However, this downward movement was stopped by the strong support level at $217.87 and it could not break through that crucial point so we saw an upward move instead.
- Relative Strength Index (RSI): The current Relative Strength Index reading is 54.31 which shows that there’s strong bullish momentum in the market right now.
- RSI is a technical indicator used to measure the speed as well as change in price movements; thus, when it continues moving upwards this means buyers are still active.
- Potential Resistance Levels: Based on our analysis, if we see more growth potentiality then overhead resistance may be tested around three hundred twenty-three dollars and eighteen cents ($323.18) after which another milestone can be achieved at three hundred sixty-one dollars plus fifty-one cents ($361.51).
- Conversely, should bears manage their way into taking control of markets once again then expect prices to drop back down towards two hundred seventy-two dollars and fifty-eight cents ($272.58).
The rally behind Bittensor (TAO) has been fueled by strategic investments coupled with positive sentiment from within markets themselves. Such endorsements signify the likelihood of the continuation of upward movement and growing buy volume demand.
But while these signs look good, it’s always advisable for traders & investors alike not to let their guards down entirely.
Technical indicators like the Relative Strength Index together with resistance levels are also important areas to watch during such times as they provide guidance when making decisions about where to enter and exit trades.
In Conclusion
The world of cryptocurrency never ceases to amaze us with its many twists and turns, so keeping track of them becomes increasingly important if one wants to stay relevant within this sphere.
Whether you’re an experienced trader or simply someone who is curious about what’s going on there, following up on events surrounding TAO can offer valuable insights into the broader field of digital assets.