Just two days before this week began, Bittensor’s TAO token was showing a slow uptrend in the charts from its price point of $460.50, and it continued the wave-like movements, reaching $634 yesterday. Despite a small reversal to $611.05 today, the coin still continues the recent high volume of transactions.
This article will get into the real reasons behind TAO’s surge, and find out whether this trend will continue or not. Also, we will get into the basic details of the Bittensor ecosystem and the TAO token, along with a purchasing guide. Let’s start.
The Reasons for TAO’s Current Surge
There are multiple reasons for the surge, including Bittensor’s preparation to become EVM-compatible. If it launches Ethereum smart contracts by running the Ethereum Virtual Machine, the AI integration will help the network outperform other EVM-compatible blockchains. Another reason for the surge is the introduction of Dynamic TAO which will improve the accuracy of the entire ecosystem. Chart analysis also agreed with the uptrend. The candles show that it had a breakout from its symmetrical triangular pattern which restricted the uptrend for the past two months.
When this year began, TAO witnessed an incredible surge, reaching an all-time high on April 11, 2024, with a price of $767.68 per coin. Then it went into a downfall until the recent uptrend revived it. However, TAO is around 20.01% down from its ATH, which the community is pushing hard to surpass now. If everything falls on the right track, we can see TAO crossing $800 in the coming bull run. Insider reports suggest that institutional investors and whales are focusing on AI-based projects in the next alt run. This is very much evident in the recent uptrend in AI-powered coins.
What is Bittensor?
Launched in November 2021, Bittensor is an open-source network that integrates blockchain technology, machine learning, and Artificial Intelligence to create a peer-to-peer intelligence-sharing ecosystem.
Bittensor’s infrastructure allows developers to build and deploy AI-powered machine-learning models on the blockchain. Users can buy or sell these AI models through its peer-to-peer marketplace using the TAO token, making it a collectively run intelligence market.
TAO Token Details
TAO has a mechanism similar to Bitcoin where new tokens are produced through mining and validating. The miners who contribute to the machine learning training are rewarded with TAO tokens. It is also used in decision-making and governance.
| Token Ticker | $TAO |
| Total Supply | 21 Million TAO |
| Circulating Supply | 7.38 Million TAO |
| Market Cap | $4.62 Billion |
How to Purchase TAO?
TAO can be traded in exchanges like Binance, Bitget, Kraken, KuCoin, Gate.io, and BingX. It is also available in Kujira Fin DEX with the pairs TAO/MNTA, TAO/USK, and TAO/axIUSDC. You can also purchase the coin through its official website. Otherwise, if you are interested in becoming a validator or data provider, you can earn TAO as an income.
Final Thoughts: Is TAO a Credible Investment?
If you plan to hodl the TAO for a longer term, the scarcity ignited by the limited supply of 21 million tokens will increase the market value, making your investment profitable. However, it depends on how successful the project will be.
If you plan to hodl in for short-term gains, you have to do your own extensive research to figure out the entry and exit strategies. As an ambiguous and volatile market, short-term trading is hard and your profit depends largely on luck.
Finally, check out the AI tokens that surged recently to diversify your portfolio and prepare for the upcoming bull run. Also, don’t forget to do your own investigation on the coins you plan to invest.