Bittensor (TAO) price has surged 10% in the past 24 hours, solidifying its position as the largest AI coin by market cap at $4.2 billion. Indicators point to a strong bullish trend.
The RSI suggests there is still room for further gains before entering overbought territory, while the EMA setup supports a possible rally to $625.
Ichimoku Cloud Shows Uptrend Is Strong
The Ichimoku Cloud chart for TAO shows a bullish trend. The price is trading above the cloud (Senkou Span A and B), indicating upward momentum. The Tenkan-Sen (blue line) and Kijun-Sen (orange line) are also positioned below the price, supporting the bullish sentiment.
The cloud itself has turned green, reinforcing medium-term support, while the upward slope suggests continued strength in the uptrend.
TAO Ichimoku Cloud. Source: TradingView
However, the price is approaching key resistance levels. The narrowing gap between the Tenkan-Sen and the Kijun-Sen indicates a possible slowdown in momentum. If TAO fails to maintain its position above the Tenkan-Sen, a pullback towards the cloud may occur.
On the other hand, a break above current levels would confirm the continuation of the uptrend. Thus, the green cloud would continue to act as a buffer for any possible pullback.
Bittensor is not yet overbought
Bittensor’s RSI has risen to 65 from 49 over the past two days, reflecting strong bullish momentum as the price surges. The Relative Strength Index measures the speed and magnitude of price movements on a scale of 0 to 100.
Values above 70 indicate overbought conditions, suggesting a possible pullback. On the other hand, values below 30 signal oversold levels, often leading to a recovery. The current RSI shows that although Bittensor is approaching overbought territory, there is still room for further gains before a correction.
RSI from TAO. Source: TradingView
Historically, TAO's price has continued to rise until its RSI reaches 72 or 75, which suggests that the current uptrend may have more room to advance. If the RSI continues to rise, TAO could extend its rally in the near term.
TAO Price Prediction: Back to $600 Soon?
The EMA lines are currently very bullish, with the short-term lines positioned above the long-term ones and the price trading above all of them. This setup indicates strong upward momentum, supported by consistent buying pressure.
If this sentiment continues, TAO price could surge another 8% to test resistance around $625, solidifying its bullish trend and the altcoin’s dominance as the largest AI coin in the market.
TAO Price Analysis. Source: TradingView
However, if the current uptrend loses steam, TAO could face a retest of key support levels at $510 and $487. If these supports fail, the price could drop further to $449, marking a significant 22% correction.
The article Bittensor (TAO) rises 10% and leads AI cryptos with US$ 4.2 billion appeared first on BeInCrypto Brasil.
