• The filing of Form 10 by Grayscale gives a boost and increased interest in the Bittensor network.
• TAO can break out towards $450 with technical and momentum indicators remaining on the bullish side.
• Futures volume indicates strong market confidence after new inflows by investors.

The Bittensor native token TAO might get to $450 after Grayscale revealed a regulatory milestone. The asset manager disclosed that it has registered a Form 10 filing for the Grayscale Bittensor Trust.

Grayscale Brings TAO to Regulated Markets

This Grayscale filing was the first move toward becoming an SEC-reporting company. The registration is expected to improve transparency and simplify the access of institutional investors to the AI-related blockchain asset.

The submission rapidly increased interest in TAO among the crypto community. This made the token the center of the social media discourse.

In the case of Bittensor, which is a decentralized machine learning network, the registration enhances its legitimacy. Moreover, it is in line with its mission to bridge AI computation and open blockchain infrastructure.

Moreover, Bittensor revealed incentives from the networks with its staking platform. Investors can receive a daily interest of up to 0.50 TAO, which is approximated at 171 TAO per year. Such a staking rate will be of interest to members who want to receive steady income and contribute to the AI computing system.

Also Read | Bittensor (TAO) Breakout: Analysts Eye $900 Target

A Clear Bullish Behavior

Technically, the chart of TAO displayed a bullish behavior. The price adjusted strongly above major moving averages, indicating long-term purchasing power.

Using Fibonacci retracement analysis, the next crucial resistance was estimated off the 1.618 target level, which is approximately $451. This represents the maximum limit to the upside. The session VWAP was approximately around $414.

It served as a dynamic support point throughout the day. To continue with the bullish trend and confirm the breakout of the price above $450, holding on above the VWAP is important.

Source: TradingView

A Steady Momentum

The momentum indicators are strong, but they also display some signs of warning. The Relative Strength Index (RSI) is near the oversold region, indicating a momentary decline in the demand.

MACD signal is on top of the signal line, which means that it is still a bullish momentum. Overall, a positive MACD together with a declining RSI is evidence of maintaining current direction instead of an abrupt reversal.

Source: X

A Critical Breakout Test

TAO is approaching a very big downward-sloping curve in the weekly chart after its previous gains. The CryptoPulse analysts are of the view that the next action will either result in fresh multi-month high or rebound to the support levels.

Provided TAO can break above the $450 mark, it is possible that it would increase to $500 or more. This would end the negative tendency.

If the upward trend is not successful, the forecast by the analysts is a retreat to the $290 to $310 range, which is in line with the supports provided by the weekly chart.

This performance showed that buyers have taken over the market for this asset. The analysts added that profit-taking might occur at this breakout price level.

Source: X

A Confirmation of the Bullish Momentum

CoinGlass information supported the validity of the rally. The trading volume for TAO increased by 47.5% to $1.35 billion. Also, it increased in open interest by 21% to $300.9 million.

This growth in both measures suggests a new money inflow into the market. Hence, the possibility of a rally is not over yet, unless strong liquidation pressures arise.

Regulatory development, powerful technical positioning, and expanding market activity enhance the optimism about TAO. Therefore, the token can break past $450 soon.

Source: Coinglass

Also Read | Bittensor (TAO) Price Prediction: Bulls Aim for $500 as Momentum Builds