Will Bittensor price surge past $400 in April as subnet valuation approaches $1.5 billion?

Bittensor price rallied over 100% in March, boosted by growth in subnet utility and a high-profile endorsement by Nvidia CEO Jensen Huang.

According to data from crypto.news, Bittensor (TAO) price rallied over 121% to a yearly high of $371 on March 25 before retracing back and settling at $318 at the time of writing.

There are three main catalysts that have been driving Bittensor’s price this month.

First, Nvidia CEO Jensen Huang recently publicly praised Bittensor and highlighted its decentralized training of the Covenant 72B AI model, a complex, large language model, as a remarkable technical achievement. The high-profile endorsement gave the project a massive boost in credibility that extended beyond the crypto space while increasing institutional appetite for the token at the same time.

Second, the successful release of the 72 billion parameter model (Covenant 72B) on the Templar subnet helped showcase the ability of the decentralized network to handle state-of-the-art AI workloads. Reports indicate that the model outperformed major competitors like Meta’s Llama 2 (70B) in some benchmarks while being trained over 70 decentralized nodes.

Third, the cumulative valuation of Bittensor’s subnet tokens reached near the $1.5 billion milestone in late March. Since users must use TAO to participate in or stake these subnets, it created a natural feedback loop of demand for the TAO token.

On the daily chart, Bittensor price has been trading within an ascending parallel channel pattern since late February. As long as an asset trades within such a pattern, they tend to maintain a steady bullish trajectory as the price bounces between the support and resistance boundaries of the channel.

A look at other technical indicators also seems to suggest that bulls maintain dominance over the market. Notably, the Supertrend indicator has flipped green while the Aroon Up at 64.29% is significantly higher above the Aroon Down, which currently sits at a lower threshold.

As such, the path of least resistance for the Bittensor price is likely to the upside, with $340, which aligns with the 50% Fibonacci retracement level, marking the immediate resistance. A break above this level could instill bulls with the confidence to push the TAO price toward $400 next.

On the contrary, if Bittensor price falls below $300, which aligns with the 38.2% Fibonacci retracement level, the current bullish structure could be invalidated and lead to a deeper correction toward previous support zones.