Key Takeaways:
Bittensor’s native token (TAO) rebounded over 10% in the last 24 hours, climbing to $283 after finding firm support at the $255 level. The move was accompanied by an 85% surge in trading volume to $250 million, signaling renewed market participation.
The rally follows Bittensor’s prominent feature at the Proof of Pitch startup competition held at the Louvre, an event that expanded the project's exposure to venture capital and technical collaborators. "Fundamental news supports longer-term interest, but current signals suggest only sideways action to mild downside unless resistance is reclaimed," Anton Kharitonov, an expert at Traders Union, said.
Data from Coinglass shows the rebound was driven by speculators in the derivatives market. Open interest climbed 9.2% to $365 million, while derivatives volume surged 48.3% to $946 million. The simultaneous rise in price, volume, and open interest suggests new capital is entering the market, strengthening the bullish momentum.
However, the rally faces significant headwinds from profit-taking. Exchange spot netflow has been positive for two consecutive days, with $1.54 million flowing into exchanges on May 21, according to Coinglass data. This indicates that holders who were previously at a loss are now selling to cash out, creating downward pressure. Technical indicators from TradingView confirm a market at a crossroads, with the Relative Strength Index (RSI) at a neutral 50 while selling pressure metrics outpace buying pressure. For the rally to continue, bulls must overcome immediate resistance at the $288.40 level.
This article is for informational purposes only and does not constitute investment advice.
