Bittensor (TAO) Tests Key Support and Eyes $300 Bounce Amid Falling Wedge

Bittensor (TAO) is seen to be testing a key support level as it is trading within a falling wedge pattern. Analysts are saying that as long as it holds this level, it can potentially experience a bullish reversal, while a break below it can cause it to fall further. The TAO is seen to be near a possible swing bottom in the coming weeks.

At the time of writing, TAO is trading at $214.96, with a 24-hour trading volume of $307.07 million and a market capitalization of $2.27 billion. Over the last 24 hours, the price has dropped 5.33%, prompting market watchers to focus on critical support levels.

Source: CoinMarketCap

Bittensor (TAO) Eyes Bullish Reversal

Crypto analyst Alpha Crypto Signal pointed out that TAO was currently trading within a falling wedge pattern and was testing its lower trend line for support. This, the analyst said, was an important level for TAO to hold if it was to sustain its bullish reversal pattern, which was common in falling wedge patterns and was expected to see a price rise.

Source: X

“If the support holds, we could see a bounce up to the upper resistance of the wedge, which could lead to a more significant bounce,” the analyst added. Yet, a clean break below this trendline could see the outlook biased to the downside for TAO.

Also Read | Bittensor (TAO) Price Prediction: Is a Rally Toward $300 on the Horizon?

TAO Approaches Critical Support Zone

Adding another perspective, another analyst, Scient, described this price zone as a macro accumulation range, suggesting that this pattern may resolve higher. Since Bitcoin is currently weak, TAO may revisit lower support levels ranging from $170 to $145.

Source: X

This range, according to Scient, may offer a chance to add more positions if one is looking to buy TAO on a dip.

However, for those seeking a tighter swing range, Scient pointed out a tighter range between $205 to $300. The strategy here is to wait for a dip before rising above this range, which could be a trigger to enter a long position.

Overall, it seems that both analysts are suggesting that altcoins, such as TAO, could be near a swing bottom, which could potentially result in upward movements in the near future.

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