Bittensor's TAO has strengthened by 13% over the last 24 hours, surpassing the key level of $276. This altcoin surged amid a broader cryptocurrency market increase of about 5% in capitalization. Despite the recent growth, TAO has not yet shown significant changes among artificial intelligence tokens within the top 100 by market capitalization. However, an analyst suggests that TAO is likely to see a strong breakout in the coming weeks. He noted that a price range of $360 to $380 may be achievable, as TAO has been in a long accumulation phase relative to Bitcoin (BTC).
The analyst also pointed out a bullish signal on the MACD chart, which turned green after a crossover. This confirms his view of a potential strengthening of TAO from the current level of around $255. A surge in buying activity is observed against the backdrop of an increase in the total volume of long position liquidations, which amounted to $19 million compared to $2 million in shorts. This demonstrates a bullish tilt in the market, where traders are opening more long positions below the current price than selling above $280. The largest long order was $1.49 million at a price of $235, while short positions totaled $1 million at a price of $320.
Nevertheless, the level of $320 may pose a challenge for TAO as it moves towards $380. The TAO breakout remains intact as long as the price does not fall below $276, which could lead to cascading liquidations of long positions and increased risks in the market. Overall, even with the risk of a short-term correction, analysts are confident that TAO can maintain its position and continue to grow, reaffirming their forecasts with an optimistic outlook regarding the prospects of this cryptocurrency.
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