- BitTensor shows a strong bullish setup as price action builds higher lows above the main support.
- The RSI breakout supports continued momentum that may lead to higher price targets in coming weeks.
- Traders now watch the $400 to $600 range as a critical zone that may define the next upward move.
BitTensor (TAO) has shown renewed momentum after breaking a critical descending resistance line, suggesting a possible continuation toward higher price levels. The move comes as many altcoin charts remain subdued, while only a few, including TAO, display positive technical setups.
The weekly chart from TradingView shows TAO trading around $431, reflecting resilience amid widespread market volatility. The asset’s recovery follows a series of impulsive and corrective Elliott Wave formations marked from mid-2023 through 2025.
According to Decode, the trader who shared the chart, several altcoins appear weak, but TAO stands out with one of the stronger patterns. The asset recently completed its second corrective wave and may now be entering a potential third impulsive phase, typically associated with larger market expansions.
Momentum indicators, such as the Relative Strength Index (RSI), show upward movement after an extended downtrend. The RSI’s break from a falling resistance structure aligns with the price’s breakout, often interpreted as a signal of strengthening market sentiment.
The setup reflects early structural recovery, hinting at a larger bullish wave if momentum sustains through the upcoming weeks.
Elliott Wave and Market Structure Breakdown
The chart displays a complete five-wave structure, with wave (1) peaking around $1,900 before initiating a downward correction. Following this, wave (2) bottomed near the $200 region, marking a strong support base.
Currently, TAO appears to have completed subwave (ii) of the third impulse sequence, suggesting early confirmation of a new upward leg. The breakout from the descending resistance line further supports the bullish case, with price movements forming higher lows and expanding candles on weekly timeframes.
Decode noted that the pattern may represent one of the few clear bullish continuations across major altcoins. The trader remarked that “so many altcoin charts just look appalling, but when so few look good, it helps narrow things down.”
This observation places TAO in a unique position within the market. Its structure signals relative strength compared to peers, indicating that it could attract additional interest as traders seek technically stable setups.
The RSI’s recovery adds confluence to the overall trend, showing that buying interest is returning after months of compressed volatility. The last notable RSI breakout occurred during TAO’s previous rally, which saw prices rise from below $100 to above $1,800.
Could BitTensor’s current structure be signaling the beginning of a similar magnitude move?
Traders Focus on Momentum and Market Context
Decode’s commentary also mentioned that volatility across altcoins has remained inconsistent, with TAO showing relative steadiness despite sharp intraday moves. While the broader altcoin market struggles to maintain direction, BitTensor has held firm, signaling confidence among long-term holders.
Additional on-chain data indicates that TAO’s volume and liquidity have improved steadily, supporting sustained technical performance. Such behavior often precedes stronger price expansions when confirmed by higher trading activity.
Community sentiment reflects growing optimism, with traders identifying TAO as one of the few assets maintaining clear bullish structure. Discussions around its pairing with Kaspa (KAS) highlight comparative strength, as TAO remains “one of the very few tokens that looks strong against KAS,” according to recent posts.
The confluence of structural breakout, RSI confirmation, and stable trend continuation positions BitTensor among the leading candidates for short-term upside in the altcoin market. The weekly formation now depends on holding above the breakout level near $400 to maintain directional momentum.
If buying pressure continues, TAO’s next resistance could form near $600, with higher targets aligning with the earlier $1,000 region where wave (v) previously peaked. Sustaining this trend may define whether the recovery evolves into a full-scale reversal.
