BitTensor (TAO) Technical Analysis – May Update
TAO is currently trading around $354, showing a crucial decision point on the chart. Here's what the technical setup suggests:
Key Support & Resistance Levels
Support Zones:
$350: Major long-term support. If this level holds, bullish momentum remains intact.
$340: Short-term structure support. A break below this for more than 8 hours may confirm downside momentum.
Resistance Targets:
$400: Psychological resistance, likely to be tested first.
$477: Long-term bullish target if $350 continues to hold.
Double Top Risk
TAO recently formed a double top pattern around $354-$355 on the 4H timeframe, which may trigger a retracement:
Break below $340 confirms the double top.
Target on breakdown: $300 short-term, and $277 if $350 fails for more than 2 days.
Strategy
Entry (Long):
If price stays above $350, consider entries for a move toward $400, then $477.
Entry (Short):
If two 4H candles close below $340, consider short setups toward $300.
Stop Loss:
Long trades: SL below $340
Short trades: SL above $355