TAO/USDT — Bearish Structure Broken, But Can Support Hold?After months trapped beneath a major descending trendline, TAO finally broke out with strong bullish momentum — hinting at a potential trend reversal.
However, price has now pulled back to retest the golden zone (386–355), which serves as the final defense line for the bulls.
This yellow zone is more than just a support area — it’s the intersection of horizontal support and the old downtrend line, making it the most decisive structure on the current chart.
In simple terms: this is where conviction meets fear — the battlefield between buyers and sellers.
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🟢 Bullish Scenario
If the price holds firmly above 386–355 and forms a clear bullish rejection or engulfing candle, it would confirm strong buyer presence and likely trigger another leg up.
Bullish confirmation: 2D candle close above 415–430.
Upside targets:
🎯 464 → first resistance & partial profit zone.
🎯 561 → key supply area & mid-range target.
🎯 698–744 → swing target & major resistance zone.
A clean breakout above 430 would signal that the bearish market structure has been fully broken, paving the way for sustained bullish momentum.
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🔴 Bearish Scenario
If the price fails to hold 355 and closes below it, the bullish structure becomes invalidated, opening room for a deeper retracement toward 330–290.
Such a move would confirm that the previous breakout was just a classic bull trap, where liquidity was swept before resuming the dominant downtrend.
Bearish continuation would be reinforced by increasing sell volume and lack of any strong bullish reaction around the support zone.
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📈 Technical Structure Overview
Dominant pattern: Descending trendline breakout + retest confluence support.
Mid-term bias: Neutral–bullish while price stays above 386–355.
Momentum: currently consolidating — potentially forming a base for the next expansion phase.
Market psychology: bulls are being tested — holding this zone keeps the bullish structure alive; losing it gives bears back control.
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⚙️ Trading Plan
Conservative entry: wait for a 2D close above 415 for confirmation.
Aggressive entry: accumulate within 386–355, stop loss below 350.
Targets: 464 / 561 / 698.
Risk-reward: favorable setup (1:3 – 1:5) if the bullish scenario plays out.
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🧠 Conclusion
TAO stands at a decisive crossroads.
The 386–355 golden zone is not just technical support — it’s the psychological frontier between hope and fear.
As long as this zone holds, the bullish narrative remains alive.
But once it breaks, the bears will take command again.
Whichever direction wins, this is the most important battleground for TAO this quarter.
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