Crypto analyst Satoshi Flipper has spotted a bullish pattern forming in Bittensor’s (TAO) price chart, predicting a potential breakout.
The analyst shared his technical analysis on X, pointing to a coiling pattern that hints at an upcoming price movement. “TAO still coiling and coiling but this coiling party is coming to an end, I’m expecting an explosive breakout,” Satoshi Flipper noted in his tweet.
Satoshi’s TAO price chart shows a falling wedge pattern, marked by converging downward-sloping trendlines. This pattern often precedes bullish reversals in crypto markets. The price has tested both the upper resistance and lower support levels multiple times, validating the strength of these boundaries.
Source: Satoshi Flipper
The narrowing price movement within the wedge suggests decreasing volatility. Market data shows the upper resistance line sitting near $520, while the lower support hovers around $500. These levels have acted as key price points during recent trading sessions.
TAO Price Action and Support Zones
TAO’s current price action demonstrates a series of lower highs and lower lows within the wedge formation. The crypto has maintained steady support near the $500 mark, with buyers stepping in consistently at this level. A stronger support zone exists at $480, based on previous trading activity.
The chart analysis indicates a potential price target of $640 if TAO breaks above the wedge’s upper boundary. This target calculation considers the pattern’s height of approximately $140 added to the breakout point.
Read also: Why Is Algorand (ALGO) Price Up? Analyst Predicts a 300% Rally
Trading Volume and Momentum Considerations
Trading volume patterns align with the wedge formation characteristics. The compression in price movement typically leads to increased trading activity once a breakout occurs. Current market data shows reduced volatility as the price approaches the wedge’s apex.
Market participants should watch for a decisive move above $520, which would confirm the bullish scenario. However, a break below the lower support at $500 could invalidate the pattern and push prices toward the $480 support zone. The analysis suggests traders should monitor these key levels for potential entry and exit points.
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The post Bittensor Gears Up for ‘Explosive Breakout’ – Will TAO’s Price Reach $640? appeared first on CaptainAltcoin.
