The TAO Price Struggles as Bears Persist Amid Key Resistance

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The TAO price dropped more than 1% over the past 24 hours to trade at $368.86 at press time, according to CoinGecko data.

The TAO Price Testing Support

As the TAO price navigates the crypto markets, traders and analysts keep a close eye on its price movements and technical indicators. Over recent sessions, TradingView data shows the crypto has been in a slight decline on the 4-hour chart.

The 9 Exponential Moving Average (EMA) and the 20 EMA reveal a narrowing margin. This could suggest a potential shift in market sentiment. The 9 EMA values have progressively decreased from $375.52 to $371.33. Meanwhile, the 20 EMA similarly decreased from $378.34 to $375.07. This convergence indicates a diminishing bullish momentum as the price approaches these EMAs from below, a typical resistance zone that traders might watch.

BIttensor is currently testing key resistance levels. With the nearest resistance standing at $383.0, and more formidable levels at $391.4 and $396.2, these could serve as crucial barriers for any short-term bullish trends. A breakout above these levels could signify a stronger upward momentum.

The Moving Average Convergence Divergence (MACD) indicates a bearish trend. The MACD line currently remains below the signal line across the latest readings. This is further highlighted by negative histogram values which have shown a slight reduction in bearish momentum from -2.824 to -2.023. Such a trend suggests caution among bullish traders.

Meanwhile, the Relative Strength Index (RSI) fluctuates below the mid-line 50, with the latest readings around the low 40s, pointing to a weaker buying momentum. This aligns with the MACD’s message, indicating that the sellers currently have a slight upper hand in the market.

Potential Trading Strategies

For traders considering entry and exit points, the current setup suggests waiting for a clearer signal. A break above the $383 resistance could provide a potential entry for a long position, with an eye on subsequent resistance levels for profit-taking. Conversely, a drop below the current support level at $362.5 could open opportunities for short positions, targeting lower supports at $347.3 and $345.3.

In conclusion, the TAO price exhibits signs of bearish momentum as it struggles below key resistance levels with technical indicators supporting a cautious approach for both bulls and bears. Traders should closely monitor these levels and indicators to refine their strategies.

Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Ecoinimist is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.

Author

Steven Walgenbach

Steven's passion for cryptocurrency and blockchain technology began in 2014, inspiring him to immerse himself in the field. He notably secured a top 5 world ranking in robotics. While he initially pursued a computer science degree at the University of Texas at Arlington, he chose to pause his studies after two semesters to take a more hands-on approach in advancing cryptocurrency technology. During this period, he actively worked on multiple patents related to cryptocurrency and blockchain. Additionally, Steven has explored various areas of the financial sector, including banking and financial markets, developing prototypes such as fully autonomous trading bots and intuitive interfaces that streamline blockchain integration, among other innovations.

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