Key Takeaways
Is TAO’s rally about to end at the six-month range high?
Traders should focus on the range extremes until it is breached, but TAO’s relative strength to Bitcoin showed a high chance of a move past $500.
Are these bullish expectations backed up by organic demand?
Yes, the spot market volume has been high in October. Sustained buying pressure was seen following the market correction and could drive the rally higher.
Bittensor [TAO] has been trading within a range since June. This range extended from $295 to $471, with the mid-range level at $383.
Remarkably, the crash on the 10th of October saw TAO prices drop no further than the range lows.
Source: TAO/USDT on TradingView
The 1-day chart’s candlewick went to $140 on Binance, which notoriously saw enormous wicks to the downside for multiple altcoins.
However, the daily session closed at $290.7, and since then, has recovered from the range lows.
This was a sign of strength for the leading AI token. In the past 24 hours, TAO has rallied 10.75%, with an increase of 38.8% in its daily trading volume.
The 1-day chart showed that the mid-range support at $383 and the range high at $471 were the next key price targets.
The CMF was above +0.05 to indicate strong buying pressure. The RSI’s reading of 62 also signaled firm bullish momentum. Overall, a move to $470-$480 appeared highly likely in the coming days.
The two-week liquidation heatmap showed that the $450-$480 area was a noticeably strong magnetic zone to the north. It was also close to the current market price of $446.
To find a liquidity cluster of comparable density, we must go as low as $395.
Therefore, a move just beyond the range highs is likely for Bittensor in the coming days. Can the bulls achieve a breakout?
Relative strength to BTC boosts TAO’s bullish outlook
Source: TAO/BTC on TradingView
Comparing the performance of Bittensor to Bitcoin [BTC] following the market correction revealed encouraging signs.
The TAO/BTC chart showed a bullish structure break (dotted white) on Sunday, the 12th of October.
In other words, while Bitcoin struggled to find its footing and was forced to sink to $108k again, Bittensor bulls were aggressively buying TAO, driving a rally.
The TAO/BTC key long-term resistance levels from earlier in 2025 were a good distance away, showing TAO has more room to rally.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion
