Bittensor rose 108% in September while analysts see more gains

Bittensor, a rapidly emerging artificial intelligence token, ranked as the second-best performer among the top 100 cryptocurrencies in September, following Sui.

TAO jumped by 108% in September

Bittensor (TAO) surged by 108% in September, while Sui (SUI), a well-known competitor to Solana, experienced a 115% increase during the same period. From its lowest point in August, TAO has skyrocketed by 276%, raising its market cap to over $4.4 billion.

This rally coincided with a rebound in several prominent AI assets, including Nvidia, C3.ai, Alibaba, and Palantir. Significant developments in the AI sector contributed to this momentum, notably Alibaba’s announcement of over 100 new open-source AI models as it aims to strengthen its position in the industry. Additionally, OpenAI’s valuation soared from $100 billion on August 30 to $150 billion by September 14, making it one of the most valuable companies in the AI space. AI tokens like Bittensor often see positive performance during such industry growth.

Bittensor’s price jump was also fueled by Grayscale’s launch of the TAO fund, which garnered over $4.1 million in assets and is trading at a 5.6% premium to its net assets. Grayscale also introduced a fund for SUI, attracting $2.3 million.

In the futures market, Bittensor’s demand surged to a record high of $172 million on September 30, up from a low of $46 million earlier in the month. This increase in open interest reflects heightened interest from traders and investors.

On-chain data indicates that the Bittensor network is expanding, with active accounts exceeding 127,000 and staked assets reaching 5.9 million. Some analysts are optimistic about Bittensor’s future performance; one predicted the token could rise to $1,000, citing its strong technical indicators. Another user mentioned the upcoming launch of BIT001, which will enable Bittensor’s subnets to create their own independent tokens.

Bittensor formed a golden cross

The price of TAO surged after establishing a triple-bottom at $217 and breaking through its neckline at $365, which marked its peak on July 26 and August 27.

Bittensor also created a golden cross pattern, where the 200-day moving average crossed above the 50-day moving average.

As of September 30, it was nearing the 23.6% retracement level and was trying to surpass the psychological barrier of $600. A breakthrough above this level could signal further gains, targeting $777, its highest point this year, which represents a 30% increase from the current price.