Date: Sat, April 19, 2025 | 06:10 AM GMT
The cryptocurrency market has been under intense selling pressure recently, with Ethereum (ETH) posting its worst Q1 since 2018, sliding more than 45%. That bearish wave swept across the altcoin sector — and the Bittensor (TAO) token wasn’t spared, tumbling over 37% this year.
But there’s a shift in momentum brewing. The AI-focused token has jumped 8% today, and interestingly, it’s now flashing a chart setup that looks eerily similar to a past breakout that led to explosive gains.
Source: Coinmarketcap
Mirrors Past Bullish Breakout Setup
Taking a look at the daily chart, TAO appears to be following its historical bullish breakout pattern. Back in May 2024, after enduring a brutal 65% correction, TAO formed an inverse head-and-shoulders pattern — a classic bottoming signal — before exploding nearly 87% to the upside after the breakout.
Bittensor (TAO) Daily Chart/Coinsprobe (Source: Tradingview)
Fast forward to today, and TAO is showing an almost mirror-image setup. Once again, after a 65% correction, TAO is grinding its way back up, now retesting a key neckline resistance — the same zone where it previously paused to form the right shoulder of the pattern.
If history rhymes, a minor pullback from this resistance zone down toward the bottom support around $212 to form the right shoulder could be on deck before a major breakout. The projected upside target sits around $600 — almost near a 2x move from current levels.
Final Thoughts
While the broader crypto market still shows signs of rebound, TAO’s structure looks promising for bulls who are patient enough to ride out a potential pullback. Chart patterns aren’t guarantees, but when combined with improving sentiment and strong historical behavior, they can hint at what’s coming next.
Of course, in crypto, anything can happen — so risk management remains key.
Disclaimer: This article is for informational purposes only and not financial advice. Always conduct your own research before investing in cryptocurrencies.
