the TAO price saw a brief increase, reaching the upper boundary

Bittensor (TAO) has delivered extraordinary returns to investors, soaring over 1600% and reaching a peak of $755.02 between October 2023 and March 2024. However, after hitting this all-time high, TAO encountered resistance in a supply zone, preventing further gains beyond $755.02.

This led to a significant profit-taking phase, resulting in a retracement of more than 70% of its earlier gains. Following the inability to breach the $755.01 mark, the price entered a downtrend, forming lower lows and eventually returning to its initial demand level by July 5th.

Subsequently, the price saw a brief increase, reaching the upper boundary of a falling wedge pattern. Despite this, it faced resistance at $358.01, causing another downward movement. On August 5th, TAO experienced a liquidity-driven spike and, over the next 15 days, traded near the upper boundary of the falling wedge once more.

Currently, the price faces dynamic resistance from the 50-day and 200-day EMAs. A breakthrough of these resistance levels could signal a potential breakout. The MACD indicator has shown a bullish crossover, and the RSI stands at 54.27.

In summary, the short-term outlook suggests potential for upward movement if the falling wedge pattern proves successful. Resistance levels are identified at $488 and $358, while support levels are at $260 and $240, respectively.