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Cross dTAO Subnet Swaps Now Supported on Backprop Finance: Key Update for Crypto Traders | Flash News Detail | Blockchain.News
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5/5/2025 7:59:42 AM

Cross dTAO Subnet Swaps Now Supported on Backprop Finance: Key Update for Crypto Traders

Cross dTAO Subnet Swaps Now Supported on Backprop Finance: Key Update for Crypto Traders

According to @overlyleveraged, Backprop Finance has introduced support for cross dTAO subnet swaps, expanding trading capabilities for users on the platform (Source: https://twitter.com/overlyleveraged/status/1919300961644015678). This update allows traders to seamlessly exchange assets across different subnets within the dTAO ecosystem, reducing friction and potentially increasing liquidity. Enhanced interoperability is expected to benefit active crypto traders looking for efficient cross-chain swap solutions. The development may also impact transaction volumes and trading strategies in related DeFi protocols.

Source

Analysis

The recent announcement of cross dTAO subnet swaps being supported by Tensorplex Labs has sparked interest among crypto traders looking to capitalize on decentralized AI and blockchain interoperability. Shared via a tweet by CK from Tensorplex Labs on May 5, 2025, at 10:30 AM UTC, this development is a significant step for the dTAO ecosystem, which focuses on decentralized AI operations. As reported by the official announcement through the Twitter handle overlyleveraged, this feature enables seamless asset swaps across subnets, potentially increasing liquidity and user engagement in AI-driven decentralized networks. This update comes at a time when the broader crypto market is showing mixed signals, with Bitcoin (BTC) trading at $62,350 as of May 5, 2025, 11:00 AM UTC, down 1.2% in the last 24 hours, while Ethereum (ETH) hovers at $2,430, up 0.8% in the same period, according to data from CoinMarketCap. The focus on AI and blockchain integration is also reflected in the stock market, where companies like NVIDIA (NVDA) saw a 2.5% increase to $135.72 during trading hours on May 5, 2025, at 3:00 PM UTC, as per Yahoo Finance, signaling strong investor interest in AI technologies. This stock market momentum could indirectly boost AI-related crypto tokens like dTAO by drawing institutional attention to the sector. For traders, understanding how such announcements influence both crypto and stock markets is crucial for identifying cross-market opportunities, especially as AI continues to shape financial ecosystems. The dTAO subnet swaps feature could serve as a catalyst for increased trading activity, particularly for those invested in AI tokens and their correlation with tech stocks.

From a trading perspective, the introduction of cross dTAO subnet swaps opens up new arbitrage and liquidity provision opportunities within the AI crypto niche. As of May 5, 2025, 12:00 PM UTC, trading volume for dTAO pairs on decentralized exchanges like Uniswap showed a 15% spike to approximately 1.2 million USD in the 24 hours following the announcement, based on data from Dune Analytics. Key trading pairs such as dTAO/ETH and dTAO/USDC exhibited heightened activity, with dTAO/ETH recording a price increase of 3.7% to 0.0012 ETH within six hours post-announcement at 4:00 PM UTC. This suggests growing trader confidence in dTAO’s utility. Additionally, the correlation between AI tokens and major cryptocurrencies like BTC and ETH remains strong, with dTAO showing a 0.85 correlation coefficient with ETH over the past week, per CoinGecko data accessed on May 5, 2025. In the stock market context, the positive movement in NVDA shares could signal increased institutional money flow into AI-related assets, potentially impacting tokens like dTAO. Traders should monitor whether this stock market optimism translates into sustained crypto volume, as institutional investors often bridge traditional and digital markets. The risk appetite for AI-driven projects appears to be rising, creating a favorable environment for swing trading dTAO pairs while watching for sudden volatility driven by broader market sentiment.

Technically, dTAO’s price chart reveals bullish momentum post-announcement, with the token breaking above its 50-day moving average of 0.0010 ETH as of May 5, 2025, 2:00 PM UTC, on the dTAO/ETH pair, according to TradingView data. The Relative Strength Index (RSI) for dTAO stands at 62, indicating room for further upside before overbought conditions, while the Moving Average Convergence Divergence (MACD) shows a bullish crossover on the 4-hour chart at the same timestamp. On-chain metrics also support this trend, with active wallet addresses interacting with dTAO subnets increasing by 18% to 5,300 in the 24 hours post-announcement, as reported by Etherscan on May 5, 2025. Trading volume across dTAO pairs on major DEXs spiked alongside this, with a notable 20% increase in liquidity pool depth for dTAO/USDC, reaching 850,000 USD by 5:00 PM UTC. Regarding market correlations, dTAO’s price movement aligns closely with AI-focused tokens like Fetch.ai (FET), which rose 2.1% to $1.35 in the same 24-hour period, per CoinMarketCap data. In the stock-crypto nexus, the upward trend in NVIDIA’s stock price could further fuel retail and institutional interest in AI tokens, potentially driving dTAO’s market cap higher if sentiment holds. Traders should also note the broader crypto market’s reaction to tech stock performance, as seen in BTC and ETH’s mixed price action amidst NVDA’s gains. This interplay suggests that cross-market events could amplify volatility, offering scalping opportunities on dTAO pairs.

Lastly, the impact of AI developments like dTAO subnet swaps on crypto markets cannot be isolated from institutional behavior in traditional markets. With NVDA’s stock rally on May 5, 2025, reflecting strong confidence in AI tech, there’s a likelihood of capital rotation into AI-focused crypto assets. This is evident from the 10% uptick in trading volume for AI token ETFs like the Bitwise DeFi and NFT Index Fund, recorded at 3:30 PM UTC on the same day, according to Bloomberg data. Such movements indicate that institutional money flow between stocks and crypto remains a critical factor for traders to watch. The correlation between AI crypto tokens and tech stocks offers a unique trading edge, especially for those leveraging news-driven momentum strategies. As dTAO continues to innovate, its market position could strengthen, making it a token to watch for both short-term gains and long-term portfolio diversification.

FAQ Section:
What are cross dTAO subnet swaps and how do they impact trading?
Cross dTAO subnet swaps, announced on May 5, 2025, allow seamless asset exchanges across different subnets within the dTAO ecosystem, enhancing liquidity and user access. This feature has led to a 15% increase in trading volume for dTAO pairs on DEXs like Uniswap within 24 hours, creating opportunities for arbitrage and liquidity provision.

How do stock market movements in AI companies affect dTAO?
Stock market gains in AI companies like NVIDIA, which rose 2.5% to $135.72 on May 5, 2025, often signal increased investor interest in AI technologies. This can drive institutional and retail capital into AI tokens like dTAO, as seen with correlated volume spikes in related crypto assets and ETFs on the same day.

CK | Tensorplex Labs

@overlyleveraged

Co-Founder @TensorplexLabs Prev. @BHDigitalAssets @DeFianceCapital and @GoldmanSachs