The cryptocurrency rose due to the US markets and lower-than-expected Producer Inflation. BTC, lingering above $59,300, opens the door for altcoins to rise, but the $60,000 threshold has not yet been regained. Which altcoin is at risk of significant loss due to the death cross?
Bittensor (TAO) Analysis
The altcoin, which fell 15% daily, experienced more loss than the market average. The price lingering at $278 is not supported by MFI and OBV. The Money Flow Index (MFI) shows buying pressure or selling strength for investors. Since the index remains steady, we see that investors are unresponsive to the decline.
Like MFI, OBV is also used to measure buying and selling pressure, and this is steady. The optimism that increased after Grayscale announced its TAO fund faded in just one week, which means we could see a larger wave of sales.
Development activity and other network data are significantly supportive. It is natural for big and good news to pull the price up. Similarly, it is normal for the inflated price to decline after the excitement fades following the event.
TAO Coin Price Prediction
The RSI in the current chart shows that buyers are facing a tough obstacle. The Relative Strength Index (RSI), which exceeded the neutral zone on August 8, has since declined. RSI, measured between 0 and 100, is expected to increase rapidly after crossing the middle line, and the opposite is targeted when the key threshold is lost.
The Exponential Moving Average (EMA) can provide more insight into the direction of the price. The 20-day (blue) and 50-day (yellow) EMAs are above the current price. In this case, the trend is expected to be downward because the loss of moving averages confirms a strong weakening in investor appetite and accelerates losses.
When all these details are read together with the intersection, also known as the death cross, a deep dip is targeted below. The current price target for TAO Coin is $241.19, and if this Fib support cannot be held, a deeper dip will be sought. In the bullish scenario, the targets will be $288 and $327.
