-7.22% for Bittensor — Daily sell-off deepens after network report and halving news

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Bittensor drops 7.22% to $178.70 today

Highlights

Bittensor's subnets now account for a record 27% of TAO’s market cap, underscoring increasing economic activity in its decentralized AI ecosystem.
TAO supply follows a fixed 21 million cap with its first halving completed in December, yet price action remains subdued amid broad selling pressures.
TAO trades below major moving averages with strong downside momentum; expected five-day range is $160 to $200, favoring further near-term declines unless $180 is reclaimed.

Record subnet growth and halving highlight as selling persists

Yuma, a subsidiary of Digital Currency Group, released its annual 'State of Bittensor' report detailing development in the decentralized AI ecosystem built on the Bittensor network. The report stated that the combined market capitalization of Bittensor's subnets reached a record 27% of TAO's market cap and described how subnet tokens are economically linked to TAO via emission pools. It also noted Bittensor's first network halving in December, confirming that TAO issuance follows a fixed 21 million cap, similar to Bitcoin, though price action has remained under broader selling pressure.

Mixed momentum and resistance cap upside amid seller strength

TAO remains under clear short- and long-term selling pressure, with the price below all key moving averages. The Ichimoku Kijun sits just above the current price at $179.75, acting as immediate resistance. Momentum signals on the daily chart are mixed: MACD shows strong downside momentum, while ADX remains weak, indicating the absence of a clear trend. RSI is stable near neutral, Stochastic RSI is overbought, and CCI suggests mild buying; Bull/Bear Power is overbought on daily but negative intraday, indicating seller dominance. Session activity included a moderate gap down, and trading is near daily lows after a 7.22% drop, reflecting elevated volatility and sustained sell-side activity.

Limited rebound odds as price consolidates in volatile range

TAO can be expected to trade within the $160 to $200 volatility band over the next five days. The probability of a lasting upward move is low (less than 20%), so further declines are more likely in the short term. The baseline expectation is sideways consolidation within this range. A decisive break above $180 would be required for upside potential, while a close below $160 could trigger an acceleration of the current bearish trend.

Anton Kharitonov, expert at Traders Union, sees Bittensor (TAO) as remaining under persistent selling pressure. Technicals are weak, with price held below all critical moving averages and mixed momentum signals. The annual 'State of Bittensor' report highlights network progress, but this has not translated into stronger price action. "Base case remains for a sideways move in the $160 to $200 range — unless $180 is reclaimed decisively, further downside risk remains."

Previously it was reported that Bittensor (TAO) is demonstrating short-term bullish momentum, trading above its MA-20 while facing resistance near the MA-50 and MA-200, supported by active institutional interest and rising adoption through integrations like Polymarket. Despite strong intraday buying and a sizable daily gain, technical indicators such as MACD, ADX, and multiple oscillators present mixed signals and suggest an overbought market backdrop amid ongoing medium- and long-term resistance.

Source of Data: TAO Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.