I am Hongcai.
I just found out that something big happened with TAO; in 10 minutes, the trading volume on Binance surged 8 times! But the price hasn't moved much... Is this the main force quietly accumulating, or is it a pump and dump?
News Analysis
The message box says that TAO's trading volume has surged 8 times, with a total trading volume of 85 million USD in the last 24 hours.
Remember this: trading volume does not lie, but if the price does not rise, be cautious.
This could either be large funds creating a false appearance of activity, or there may be news that we are unaware of about to be released. Jumping in now is like shooting in the fog—you have no idea where the target is.
Technical Analysis
4-hour chart, the story has changed:
The price is consolidating around 221, and the MACD has just crossed the zero line, which is a short-term bullish signal.
But the upper 235 is a resistance level, and 255 is a strong pressure zone. It's hard to break through without volume.
Below, 215 is the short-term support, 195 is the defensive level, and 170 is the last line of defense.
The key is coming: if the golden cross is real, the price should rise quickly, but now it’s consolidating with low volume, like the engine is running but the car isn’t moving.
My viewpoint
I think tonight TAO will first fake a high before pulling back.
The main players are likely using 'golden cross + explosive volume' to attract retail investors to follow, then suddenly dumping near 230.
First, test upwards to 228-235. If there’s resistance and it falls back, after breaking 215, it will accelerate downwards; if it directly breaks 215 with volume, it confirms the end of the rebound, targeting 195-170.
Remember, in a downtrend, all rebounds are opportunities for you to reduce your position, not reasons to chase highs.
What should players do
For those without positions: don’t act rashly, wait for the price to pull back to 215 without breaking, or only consider following after a volume breakout above 235.
Those with positions need to be smart: if heavily positioned, reduce in batches when the price rises to the 228-235 range; if lightly positioned, place two orders: light position at 215 for a long test, and another at 195 for a second entry.
The most stable move: place pyramid buy orders at support level 215 for 10%, 205 for 20%, 195 for 30%, lowering the cost. If wrong, total position stop loss should not exceed 5%.
Many people lose money because they blindly rush in when they see explosive volume and a golden cross. I will give early warnings about these deceptive traps in my daily analysis, just like I mentioned the 228-235 trap area today. If you follow me, you won’t become prey to the big players.
The crypto world is always like this: news travels faster than bullets, but bullets often hit those who rush in last.
Are you waiting for bullets, or looking for shields?
Follow Hongcai, I not only give you fish but also teach you to recognize bait and hooks. Some signals, if you understand them, are opportunities; if not, they are traps. Tonight, let’s wait for the wind to come, but remember, only if you stand firm will you not be blown down.
Wealth doesn’t rush in through urgent doors; making money in the crypto world relies on awareness and patience, not shortcuts and luck! Follow Hongcai and participate in every attack! Hongcai will announce specific entry times and real-time news in the chatroom every day!#加密市场观察 $TAO
