Bittensor (TAO) has maintained its dominant position among AI cryptocurrencies, rising by less than 1% in the past 24 hours. While other AI coins like RENDER, FET, and INJ are experiencing declines, TAO remains in the green. Technical indicators suggest growing bullish momentum, with BBTrend reaching a three-week high and a potential golden cross forming on the EMA lines.
Additionally, the Ichimoku Cloud setup remains positive, reinforcing the possibility of further gains. The key question is whether TAO can reclaim $500 in February or if it will face a retracement.
TAO and Ichimoku Cloud Signal a Bullish Trend
Ichimoku Cloud analysis shows a strong bullish setup, with TAO currently trading above the cloud, indicating continued upward momentum. The green cloud ahead suggests solid support, which could help maintain the upward trend.
TAO’s price is also holding above the blue Tenkan-sen line, signaling that short-term momentum is still in favor of the bulls. However, the recent retracement suggests some resistance, and a deeper correction could test lower support levels.
If TAO stays above the cloud, the bullish trend could continue, potentially leading to a retest of recent highs.However, a break below the Tenkan-sen and Kijun-sen lines could signal the beginning of a consolidation phase or even a trend reversal.
For now, TAO remains in a bullish position as long as it holds above key support levels.
BBTrend for TAO Reaches a 3-Week High
BBTrend for TAO surged from -2.7 to 10.6, marking a significant shift in market momentum. This indicator measures trend strength using Bollinger Bands, and a move into positive values often signals increasing bullish pressure.
Notably, this is the highest level since January 7, suggesting strengthening bullish momentum. TAO was the only AI coin in the top five to register gains today.
A positive BBTrend reading means that buying pressure is increasing, which could drive the price higher.However, if BBTrend starts declining, it could indicate a potential short-term correction.
TAO Price Prediction: Can It Return to $500?
TAO’s Exponential Moving Averages (EMAs) suggest a potential golden cross, where the shorter EMA crosses above the longer EMA, a strong bullish signal.
If this bullish setup is confirmed, TAO could break the $495 resistance level and aim for $522.If the bullish trend remains strong, TAO could surge to $588, marking a potential 26% increase.
However, if momentum fails to sustain, TAO could see a retracement toward the $434 support level. A break below this level could accelerate the decline toward $382 or even $362.
Such a drop would put TAO’s position as the leading AI cryptocurrency at risk, opening the door for competitors to gain ground.
Summary: Will TAO Continue Rising or Face a Correction?
TAO remains above the Ichimoku Cloud, signaling continued bullish momentum.BBTrend has reached its highest level in three weeks, indicating strong buying interest.A potential golden cross on the EMA lines could reinforce bullish sentiment.Key resistance levels are $495 and $522, while support lies at $434 and $382.
In the coming days, it will be crucial to watch whether TAO breaks above $500 or faces a correction. If bulls maintain momentum, TAO could soon resume its upward trajectory. 🚀
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