Date: Mon, February 10, 2025 | 06:23 PM GMT
The cryptocurrency market is showing signs of recovery today, with major altcoins turning green after weeks of correction. This recent downturn was largely influenced by Bitcoin’s rising dominance, which surged from 54.96% in early December to current 61.50%, putting pressure on the broader altcoin market. Additionally, macroeconomic factors such as new trade tariffs have injected further volatility.
Among them, Bittensor (TAO) and Cosmos (ATOM) are making notable comebacks. TAO has surged 8%, while ATOM is up 4%, both reclaiming key support levels after experiencing a 60-day correction of over 36% and 47%, respectively.
Both tokens are approaching key resistance levels within their falling wedge patterns, and potential breakouts could lead to further upside movement.
Bittensor (TAO)
TAO’s daily chart highlights a falling wedge pattern that formed after a sharp rejection from the December 6 high of $744. The latest correction saw TAO plummet to a low of $237, where it tested the lower trendline of the wedge.
However, TAO has rebounded to $390, now facing resistance at the 25-day moving average (MA). A breakout above this level could push TAO towards the upper resistance of the wedge.
If the price breaks out and successfully retests this wedge, the next key resistance lies at $498. A decisive move beyond this level would confirm a trend reversal, potentially paving the way for further gains.
Cosmos (ATOM)
Similar to TAO, Cosmos (ATOM) is also following a falling wedge pattern. Currently trading at $4.77, it is approaching its upper wedge resistance. The token recently found strong support around $4.99, marking the lower boundary of the wedge.
If ATOM can break above its 15-day SMA, it could trigger a retest of the $5.40 resistance level, which aligns with the upper boundary of the wedge. A breakout from this formation would significantly increase the likelihood of a sustained recovery towards the first resistance level of $6.40.
The MACD is turning positive, indicating a potential bullish shift.
Final Thoughts
Both TAO and ATOM are demonstrating resilience at their respective support levels, hinting at the possibility of a trend reversal. However, their next moves will largely depend on the broader market, particularly Ethereum (ETH) and Bitcoin dominance.
If ETH continues its recovery and BTC dominance starts to decline, it could provide additional momentum for altcoins, helping TAO and ATOM break out of their wedge patterns and confirm a bullish shift.
For now, traders should closely monitor breakout confirmations, as these could signal the next major move for both tokens.
Disclaimer: This article is for informational purposes only and not financial advice. Always conduct your own research before investing in cryptocurrencies.
The opinions and market insights shared on CoinsProbe represent the views of individual authors based on prevailing market conditions at the time of publication. Cryptocurrency investments carry significant risk and volatility. Readers are encouraged to conduct their own research and seek professional financial advice before making investment decisions. CoinsProbe and its contributors do not accept responsibility for financial losses or decisions made based on published content.
CoinsProbe may publish sponsored articles, affiliate links, or promotional collaborations. All sponsored material is clearly labeled to maintain transparency with our audience. Our editorial decisions remain fully independent, and advertising partnerships do not influence reviews, rankings, or published opinions.
Since 2023, CoinsProbe has delivered reliable insights on cryptocurrency, blockchain, and digital assets. Our content is created by experienced researchers and analysts who follow strict editorial standards focused on accuracy, transparency, and credibility. Every article is carefully reviewed and verified using trusted sources and current market data. We provide unbiased analysis and timely updates covering everything from emerging crypto projects to major industry developments.
