The cryptocurrency market has experienced a significant surge, with Bitcoin [BTC] reaching $71,500 at the latest update.
This surge has had a positive impact on various alternative coins. Notably, Bittensor [TAO] has shown remarkable performance, currently trading at $544 following a 7.12% rise.
TAO’s trading volume has spiked by 104.58% to $211 million within a day, outshining numerous AI-focused altcoins.
TAO Leading the Pack of AI Cryptocurrencies
During the previous day, Tao exceeded other AI cryptocurrencies in growth, with a 7% surge compared to a 6.53% increase for Injective [INJ] and a 5.84% rise for Near Protocol [NEAR].
Additionally, Artificial Superintelligence Alliance [FET] observed a 5.49% boost, while Internet Computer [ICP] saw a 3.52% uptick.
This upward trend indicates a growing preference from investors towards AI-related tokens, with TAO attracting heightened attention.
Implications for TAO’s Price Trends
An analysis by CryptoCrypto highlights TAO’s increasing positive momentum.
Consequently, the current market conditions could position the altcoin for further price upsurges.
For instance, Bittensor’s Long/Short Ratio reveals a dominance of long positions in the market.
Long positions currently hold 50.96%, while shorts account for 49%, presenting a ratio of 1.039, indicating a bullish sentiment with expectations of price hikes.
This inclination towards long positions is reinforced by a consistently positive funding rate from aggregated exchanges.
Over the last week, this metric has remained in the positive territory, signaling that long position holders are willing to pay higher fees during downturns to maintain their positions, reflecting optimistic outlooks.
In summary, TAO is witnessing an upward trajectory, as evidenced by RSI climbing from 45 to 50, reflecting mounting buying pressure.
Thus, with a favorable sentiment and growing investor interest, the altcoin is poised for further advances. Should these conditions persist, it is likely to surpass the $584 resistance level.
Nevertheless, if this surge is primarily fueled by speculative activities, TAO may face resistance and retreat towards $463.