TAO today news: forecasts favor further downside — strong selling follows AI subnet fund launches

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Bittensor drops 11.51% to $316.80 today

Highlights

Bittensor (TAO) trades at $316.80, below MA-20, MA-50, and MA-200, indicating persistent seller control across all timeframes.
TAO fell $41.20 (11.51%) after a gap down to $296.60, with mixed momentum indicators and high volatility following recent fund launches and short liquidations.
Probability of a sustained price increase is under 20%, with an expected range of $326.10–$343.50 next week and risk of further declines if TAO closes below $276.20.

Retail inflows and liquidations accelerate as fund launches boost sentiment

TAO’s recent trading has been shaped by a surge in investor activity following the launch of two prominent funds backing its subnet token within the decentralized AI ecosystem. This development has sparked increased retail interest and short liquidations, further fueling momentum and market excitement. Forecasts point to the possibility of a significant decline by early November, though the current trend remains influenced by the recent fund launches.

Diverging momentum signals as sharp rebound contradicts underlying weakness

Momentum indicators are mixed: daily MACD signals strong selling pressure, while ADX shows an active trend, but daily and weekly RSI both below 50, confirming a bearish undertone. Stoch RSI offers no broad bias, but intraday charts show brief overbought pockets; CCI sits neutral, and BBP suggests dominance of sellers intraday. Awesome Oscillator supports the bearish direction, consistent with the day’s sharp move down: TAO fell $41.20 (slipping 11.51%) after a considerable gap down from the previous close ($358.00 to $296.60). The current price is near today’s high, reflecting a sharp rebound from the low, with volatility high after heavy pressure in early trading. There is clear divergence across intraday momentum and oscillators, with the rapid bounce contradicting persistent negative momentum signals.

Low odds of sustained rebound as downside risk dominates scenarios

The expected price range for the next week is between $326.10 and $343.50. Based on higher timeframes, there is a very low probability (less than 20%) of a sustained price increase, making further declines more likely. Baseline scenario: TAO holds within the $326–$343 zone as sellers and buyers balance. Bullish scenario: a move above $321.65 could trigger a test of $330 and higher. Bearish scenario: a close below $276.20 would open space for another momentum-driven drop, with little technical support below.

Anton Kharitonov, expert at Traders Union, sees Bittensor (TAO) remaining technically weak despite the recent rebound, with price action below key moving averages and bearish momentum prevailing across multiple indicators. He notes that while news of new funds has temporarily lifted sentiment and volatility, the prevailing trend and risk factors favor sellers, with only a minor chance of a sustained upside. "Until TAO firmly reclaims at least $321.65, I remain cautious—any recovery attempt below this level is unconvincing and sellers are still in control."

Last time we reported that speculative flows in related assets increased as liquidity deepened on centralized venues. The previous article noted that buyers pointed to improving order book depth and recurring squeeze dynamics following each dip.

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.