TAO eyes $500 after 20% pump in two days; check forecast

The cryptocurrency market has been extremely volatile over the last few days.

The weekend liquidation saw several altcoins lose over 50% of their values within hours. However, several of the coins have recovered, with many trading around their Friday prices.

However, TAO, the native coin of the Bittensor ecosystem, is one of the outliers in the market.

It has recovered from the dip and added over 20% to its value over the last 24 hours, making it the best performer among the top 30 cryptocurrencies by market cap.

The coin could rally higher in the near term, with other AI-focused cryptocurrencies expected to follow. 

TAO Synergies secures $11 million in private financing

TAO is trading at $420 per coin and could rally higher in the near term. The primary catalyst behind TAO’s rally is the $11 million raised by the Bittensor-focused crypto treasury firm TAO Synergies.

The company announced on Monday that it entered into a securities purchase agreement to raise the funds.

The agreement involves the sale of 11,000 shares of TAO Synergies’ newly issued Series E convertible preferred stock. 

The company revealed that the purchase agreement includes its existing investors, TAO Synergies’ digital asset strategy advisor James Altucher, and a new investor, DCG. 

TAO Synergies rebranded from Synaptogenix in June as it pivoted toward a Bittensor-focused strategy.

According to the company, it stakes all acquired tokens to earn network rewards on the Bittensor blockchain. 

Currently, TAO Synergies is the largest publicly traded holder of Bittensor, holding 42,111 TAO worth over $18.2 million.

Bittensor has two other treasury companies, xTAO Inc. and Oblong, making it one of the biggest AI-focused cryptocurrency projects. 

TAO eyes $500 as bullish run continues

TAO is the best performer among the top 30 cryptocurrencies by market cap, adding 20% to its value in the last 24 hours.

Thanks to this rally, the TAO/USD 4-hour chart has turned bullish and efficient.

The technical indicators are also bullish, suggesting that the coin could rally higher in the near term.

The Relative Strength Index of 63 shows that the bulls are in control and could push it toward the overbought region if the rally continues.

The MACD lines are within the bullish region, suggesting further upward movement.

If the rally continues, TAO could surge past the $463 July high over the next few hours. An extended bullish run would see the coin hit the $500 psychological level once again.

However, if TAO undergoes a correction following its recent run, it could retest the TLQ and support level at $311 in the coming hours or days.

The weekend low of $198 will likely hold in the medium to long-term as bulls grab control of the market. Regardless, TAO is extremely bullish at the moment and could surge higher in the near term.

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