xTAO Makes Bold Move: Stakes 41,538 TAO as Market Eyes $370 Target

Another day, another crypto whale making waves—xTAO just locked up 41,538 TAO tokens in a high-stakes bet as the price flirts with $370. Is this confidence or just another over-leveraged gamble? Only time will tell.

Market watchers are buzzing: with TAO's price action heating up, xTAO's massive stake could either fuel the rally or leave them holding the bag. Classic crypto—where 'diamond hands' meet 'reckless abandon.'

Meanwhile, traditional finance bros are still trying to figure out what a 'wallet' is. Good luck keeping up.

• xTAO is the publicly traded company holding the largest amount of TAO tokens.
• The token is testing the $370 resistance level amid strong bullish technicals.
• The RSI and MACD hint at a minor and weak recovery.

xTAO Inc. holds the largest TAO tokens after it staked 41,538 of the asset. Its price is attempting to overcome the $370 resistance price level with technicals indicating bullishness.

xTAO is the Biggest TAO Token Holder

xTAO company is a corporate company with the largest amount of Bittensor’s native asset. It holds 41,538 TAO tokens. The company confirmed this after being listed on the TSX Venture Exchange with the symbol xTAO.U.

According to the official statement, there is no other publicly traded company with more of this token. xTAO will use this reserve to increase validator operations and boost the infrastructure of the Bittensor network.

xTAO has already staked its TAO treasury to the Bittensor root network, which will offer almost 10% in yearly reward. CEO Karia Samaroo says the strategy is to develop infrastructure, generate revenue, and grow alongside Bittensor.

The acquisition follows TAO Synergies’ purchase of $10 million worth of the tokens a few weeks ago. This makes it a period of growing euphoria around the use of decentralized AI infrastructure. 

TAO Synergies also staked all its tokens with the Bittensor network as a way of earning rewards. The company considers staking as an income generation process.

TAO Targets $370

According to the current TradingView chart, Bittensor had a bounce recently to $355.75 from $327.27. This current value is testing the 0.236 Fibonacci retracement level, which is key for a possible reversal in the short term.

However, above this level is a resistance at $370. The next Fibonacci targets are $383.26 and $396.47 if Bittensor’s native token climbs above $370.

There are mixed readings for the 4-hour VAWP. The bottom band is at $353.34, while the middle band is at the $354.43 level.

The upper band of the VWAP is at $355.52. This means that the price is unable to sustain itself above the average trading range.

Volume is almost non-existent at 760. This indicates that traders are waiting until there’s a stronger confirmation before they reenter the market aggressively.

Fib. and VAWP. Source: TradingView

RSI and MACD Demonstrate Weak Momentum

On the momentum side, there is a reading of 49.84 on the RSI, which is well within the 50 neutral zone. RSI recently recovered from 36.56 lows. This suggests a short-term bullish impulse following the price correction. 

However, the strength of the bull trend is not known. The MACD is also indicating that the token is on an uptrend, as the MACD line is above the signal line.

This bullish crossover indicates that the current surge could extend further as long as there’s continued buying momentum. But the histogram remains shallow. This means that the momentum is fragile and can change quickly, especially when sellers begin to return.

RSI and MACD. Source: TradingView

This token’s price dropped significantly in the past two weeks, from its July high of over $430. The decline penetrated several important support levels.

At present, the token has only recovered the former swing low price of $327. If the token is unable to maintain its price above $370, it might retest the support levels below $340.

It might even drop to $327. The $353 to $370 price levels should be of great interest to traders. That price range could decide the future trajectory of the token’s price.

A move over $396 WOULD be the confirmation of a full rebound. Until then, this token’s price trend remains prone to correction.