Bittensor (TAO) Approaches Major Resistance for the Second Time Since Its Binance Launch

If TAO successfully breaks the neckline of the “W pattern” identified in its price action, it could see a significant surge toward the $700 mark.

Bittensor, a decentralized artificial intelligence (AI) platform, has announced the addition of Ethereum Virtual Machine (EVM) compatibility to its platform. This integration will enable developers to effortlessly deploy smart contracts utilizing familiar tools like Solidity, Truffle, and MetaMask.

Moreover, the platform will introduce user-facing applications and new staking protocols as it continues to expand. These protocols will encompass staking pools and liquid staking, presenting a wider range of options for both developers and investors.

This development marks a significant step in Bittensor's evolution, as highlighted by the platform in a recent tweet:

“EVM compatibility on Bittensor is a game changer. Developers can deploy smart contracts using tools like Solidity, Truffle + Metamask. Bittensor is bridging AI and traditional DeFi in new ways. Expect to see more user-facing apps and staking protocols. Think staking pools,…”

Earlier analysis highlighted the bullish momentum gaining strength in the native token of Bittensor, TAO, as it approaches a critical resistance level for the second time since its Binance launch.

If TAO manages to breach the neckline of the “W pattern” that has been forming in its price action, it could experience a significant surge toward the $700 mark. This potential move would complete the fifth wave in an Elliott Wave sequence, presenting an exciting phase for investors.

$TAO is gaining bullish momentum!

As Bittensor approaches a critical resistance for the 2nd time since its Binance launch, if it breaks the "W pattern" neckline (3rd wave), a surge to $700 (5th wave) could follow. Will TAO reach a new ATH? ? pic.twitter.com/g6VHX2GY03

Price Trend Analysis: Correction and Anticipation of Wave (5)

Currently, the price of TAO appears to be in a corrective phase after completing waves (1) through (4) of an Elliott Wave sequence. The market seems poised for wave (5), which may drive the price higher.

Recently, TAO retraced from a major resistance level around $685.5, experiencing a strong rejection. This price action is likely to be indicating the formation of a higher low around $577.8, a support level.

Key Support and Resistance Levels to Watch

Among the key support levels is one at $577.8, highlighted in green. This level has served as a strong support zone, with the price currently bouncing from it, indicating buying interest.

Additionally, there is lower support at $560.5. If the price drops below this level, it could encounter further selling pressure.

On the upside, a local resistance level of $655.1 is likely to be tested soon. The major resistance at $685.5 has already been tested twice. Breaking above this would likely trigger a new upward move.

Overall Market Outlook: Navigating Resistance and Support

The overall outlook for TAO suggests that the price is preparing to retest the $685.5 resistance. A breakout could lead to significant gains during wave (5).

Also read: Bittensor’s 18% Surge: A Sign of Broader Crypto Market Recovery?

On the other hand, a failure to hold the support at $577.8 may result in lower price movements, potentially testing support levels around $560.5.

At press time, Bittensor's live price is $576.56, with a 24-hour trading volume of $145,820,543. Bittensor is down 1.51% over the last 24 hours.

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