- EVM compatibility boosts Bittensor, enabling seamless smart contract deployment.
- TAO approaches key resistance, aiming for a potential surge toward $700.
- Strong support at $577.8 crucial whereby a break could signal further declines.
Bittensor is bringing Ethereum Virtual Machine (EVM) compatibility to its decentralized platform, opening the door for developers to deploy smart contracts using familiar tools like Solidity, Truffle, and MetaMask. This connects artificial intelligence with traditional DeFi, creating new opportunities for innovation.
As Bittensor grows, users can anticipate a rise in user-facing applications and new staking protocols, including staking pools and liquid staking, expanding options for both developers and investors.
Earlier analysis noted that Bittensor’s native token, TAO, has been gaining bullish momentum. The token is testing a critical resistance level 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. This potential movement represents the fifth wave in an Elliott Wave pattern, marking an exciting phase for investors.
Price Trend Analysis: Correction and Anticipation of Wave (5)
Currently, the price of TAO appears to be in a correction 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 near $685.5, experiencing a strong rejection. This price action likely indicates the formation of a higher low around $577.8, a significant support level.
Key Support and Resistance Levels to Watch
Key support levels have emerged, particularly at $577.8. This level, highlighted in green, has proven to be a robust support zone. Currently, the price is bouncing off this region, suggesting buying interest. Moreover, $560.5 serves as the lower bound of this support zone. A drop below this level could trigger further downside pressure in the market.
On the upside, $655.1 is a local resistance level 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 result in substantial gains during wave (5).
Read also: Bittensor’s 18% Surge: A Sign of Broader Crypto Market Recovery?
Conversely, failure to hold the support at $577.8 may result in declines, potentially testing lower support levels around $560.5. As at press time, Bittensor’s live price stands at $576.56, with a 24-hour trading volume of $145,820,543. Currently, Bittensor is down 1.51% over the last 24 hours.
Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
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