Bittensor price sees a dip: what is pressuring the token

Traders Union
All News
Crypto
Bittensor slides 10.38% today to $269.40

Highlights

Bittensor's TAO token drew public praise from Nvidia's CEO and Chamath Palihapitiya following major AI training milestones on its decentralized network.
Institutional engagement intensified with significant trading volumes, Nasdaq Stockholm cross-listing, and a pending Grayscale ETF application, though price remains under general selling pressure.
Despite bullish short-term momentum, technical signals now flag overbought conditions and downside risk, with $235.85 as key support and a near-term trading range capped below $280.

Institutional activity rises as endorsements outpace current selling pressure

Bittensor's native token received public endorsements from Nvidia CEO Jensen Huang and investor Chamath Palihapitiya, following the platform's milestone of training large language models using its decentralized compute network. Huang specifically referenced the achievements of Bittensor's Subnet 3 and the Covenant-72B model, with trading volumes on the network reaching $677 million and open interest in TAO futures rising. Additional institutional attention accompanied these developments, such as the cross-listing of the Bittensor Staked TAO ETP on Nasdaq Stockholm and a pending Grayscale Bittensor ETF application, though price action has remained under broader selling pressure.

Anton Kharitonov, expert at Traders Union, believes Bittensor shows ongoing vulnerability despite strong news coverage. He notes that the price sits below the SMA-200 and the latest selloff pushed TAO close to intraday lows, highlighting downside risk. Kharitonov sees mixed technicals, with momentum fading and oscillators warning of possible reversal, even as institutional interest increases. He cautions that the current market mood is fragile and selling pressure dominates despite bullish headlines. "Until TAO regains the $284.90 threshold decisively, I see further pullbacks as more likely than recovery."

Viktoras Karapetjanc, expert at Traders Union, sees Bittensor preserving a fundamentally bullish structure amid temporary volatility. He points to rising institutional involvement like the ETP cross-listing and Grayscale’s ETF application as positive momentum drivers. Karapetjanc maintains confidence in TAO’s upward prospects, underlining the resilience above key moving averages and ongoing ecosystem developments. He sees further growth potential as market adoption accelerates. "TAO offers multiple setups with upside potential as adoption and attention from global leaders continue to build."

Buyer resilience clashes with overbought risks amid heightened volatility

TAO is trading at $269.40, which is above both the SMA-20 ($220.95) and SMA-50 ($195.68) but below the SMA-200 ($284.90), signaling short- and medium-term bullish momentum while facing longer-term resistance. Immediate dynamic support comes in from the Ichimoku Kijun near $235.85, with resistance seen at the SMA-200 and the $270–$280 round level. Momentum indicators are mixed: on the daily chart, MACD and ADX point to ongoing bullish momentum, but oscillators such as Stoch RSI, CCI, and BBP show overbought conditions. RSI holds near 69, reflecting persistent buyer interest, though BBP and CCI indicate elevated risk of reversal. Awesome Oscillator remains in agreement with the prevailing trend, yet today's session saw a sharp decline of 10.38% with the price sitting close to the intraday low after a bearish gap at the open, suggesting high volatility and continued pressure from sellers. This overall divergence between strong momentum and overbought oscillators flags caution, as intraday performance confirms negative sentiment despite some resilience in higher timeframes.

Earlier, analysts noted that Bittensor's bullish momentum was increasingly constrained by overbought conditions, suggesting a heightened risk of near-term downside. The latest price action and mounting volatility reinforce that close attention to the $235.85 support zone is warranted, as a decisive break below this level could accelerate further declines.

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

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.