Bittensor rallies 6.5% in 24 hours- Is it time for TAO buyers to place bids?

A week ago, AMBCrypto had reported that Bittensor [$TAO] has a bullish long-term bias, but it could see a price retracement as deep as $194.

In particular, the $233-$194 golden pocket, plotted using Fibonacci retracement levels, could be a bullish turning point.

$TAO bulls had other ideas. Over the past week, the buyers defended the $240 support zone and gradually drove the altcoin’s price back above the psychological $250 level.

The AI token’s resurgence recently was a standout in its sector. Other leading tokens in the AI token category on CoinMarketCap exhibited lackluster performance over the past week.

The bullish $TAO shift can see the rally continue

The local high of $267.4 from the 17th of April has been broken. As pointed out in an earlier report, the swing structure of $TAO on the 1-day structure was bullish.

Therefore, as things stand, the token presented a buying opportunity. It is possible, but unlikely, that $TAO would plunge lower and retrace below $233 once again.

The trading volume has been relatively low following the pullback from $340 to $235 in the first half of April. Since then, the OBV has seen a shallow bounce, but it needs heavy demand to reclaim those highs.

Meanwhile, the RSI has climbed back above neutral 50 to reinforce the momentum shift.

Traders’ call to action – Buy or wait?

$TAO’s breakout past the $260 resistance zone (red) was a good start, but the $273-$281 was also a key obstacle for buyers to overcome. A rejection from this area and a retracement below $250 would flip the short-term bias bearishly once more.

Traders can look to buy Bittensor. Its structure was bullish across timeframes, and the $250 and $233 were the key support levels to watch for bullish invalidation.

To the north, $328 and $377 are the next price targets. Given the mixed sentiment around Bitcoin [BTC], it is unclear if market conditions will be steady enough to allow $TAO to reach its 23.6% extension level at $433.

Final Summary

• The Bittensor relative strength was notable and could set up a bullish move in the coming days.
• It was the only token with a standout performance among the top AI sector altcoins.