TAO slides amid renewed downward price move

Traders Union
All News
Crypto
Bittensor drops 6.89% to $200 today

Highlights

OpenTensor Foundation introduced Gamma Tokens on Bittensor, establishing an automatic buy-and-burn system linked to TAO payment use.
Bittensor subnets are approaching $70 million in estimated revenue, with strong GPU rental activity on the Lium subnet supporting network growth.
TAO/USD trades under key moving averages with bearish technical momentum, projecting a range of $193.2 to $205.84 in the short term.

Supply scarcity and revenue growth as network utility expands

On November 13, 2026, the OpenTensor Foundation launched Gamma Tokens on the Bittensor network, introducing a native payment credit system that automatically buys and burns subnet Alpha tokens whenever TAO is used for payments, according to Martyau79 Substack. This protocol change creates a direct link between real-world AI inference demand on Bittensor and increased scarcity for related tokens, potentially altering demand and supply conditions. Additional data from Altcoinbuzz showed that Bittensor subnets neared $70 million in estimated revenue, driven by rising GPU rental activity on the Lium subnet, highlighting continued economic use of the network.

Intraday selling pressure persists as momentum and support weaken

On the hourly chart, TAO/USD is trading below the MA-20 at $210.56 and MA-50 at $210.53, with the long-term MA-200 at $241.21 overhead. Immediate resistance is marked by the Ichimoku Kijun at $210.4, while the nearest support aligns with today’s low. MACD and ADX remain in firm sell conditions, and Bull/Bear Power registers at -2.74, indicating dominant intraday selling. RSI is neutral, whereas Stoch RSI and CCI both signal oversold conditions. The Awesome Oscillator continues to align with the current downside bias.

Deepening downside risk with tight consolidation projected

Over the next two to three trading days, TAO/USD is forecast to consolidate within the $193.2 to $205.84 volatility band relative to current levels. The probability of an upward move is considered very low, while sustained downside remains much more likely. A move above $210.4 would be needed to signal recovery, while a drop below $193.2 would expose further downside risk.

Viktoras Karapetjanc, expert at Traders Union, sees the Bittensor Gamma Token protocol launch as a positive step for network fundamentals. He notes that tying TAO payments to automatic Alpha token burns creates a stronger demand-scarcity dynamic. Subnet revenue near $70 million highlights substantive ecosystem engagement. Despite current technical weakness, macro and on-chain factors support optimism over time. "If the network’s payment reforms drive real AI demand, I expect stronger recovery as fundamentals assert themselves."

Earlier, analysts noted that Bittensor was experiencing persistent downside momentum amid network upgrades and new token launches, with technicals indicating seller dominance. The current article reinforces this view by documenting continued weakness below key moving averages and oversold conditions, highlighting $193.2 as the critical support level to watch for potential further declines in the near term.

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.