Bittensor [TAO] Surges 12% as $28M Hack Mystery Resolves – Bull Run Ahead?

Bittensor's TAO token rockets 12% as blockchain investigators crack the $28 million security breach case wide open.

The Resolution Unfolds

Forensic analysis reveals sophisticated attack vectors while the core protocol remains intact—no fundamental weaknesses in Bittensor's architecture. Security patches deployed across the network within hours of identification.

Market Response Accelerates

Trading volume spikes 300% as institutional money flows back into the AI-focused cryptocurrency. Short sellers scramble to cover positions while long-term holders increase their stakes.

Technical indicators flash bullish signals across multiple timeframes. The swift resolution demonstrates Bittensor's resilience—proving that even a $28 million hack can't keep a good protocol down. Wall Street analysts, meanwhile, remain skeptical about 'another crypto miracle recovery' while retail investors pile in.

With the mystery solved and confidence restored, TAO's momentum suggests this might be just the beginning of a major breakout—because nothing pumps a crypto like surviving a disaster that would sink traditional finance institutions.

Key Takeaways

What triggered TAO’s recent 12% gain?

TAO surged 12% after a $28 million hack investigation was resolved, restoring investor confidence and driving $25 million in fresh capital inflows.

What’s next for TAO’s price?

TAO is NEAR $447 resistance; a successful breakout could push it toward $476, with a potential yearly high of $588.

Bittensor [TAO] recorded a 12% gain in the past 24 hours after an investigation into a $28 million hack linked to the project was resolved, restoring investor confidence.

With $25 million added to its derivatives market, TAO now sits just a resistance away from reclaiming its previous year all-time high (ATH).

The leading AI token started gaining traction again after suffering a 44% drawdown in recent weeks.

Over the past day, the asset ROSE 12% as market participants renewed their interest, with most investors betting on further upside.

Investigation boosts investor outlook

A recent update on the investigation into TAO’s $28 million hack in 2024 appears to have fueled renewed optimism.

A detailed post-mortem analysis by on-chain investigator ZachXBT, shared publicly on X, revealed that a former Bittensor employee was responsible for the attack that affected 32 TAO holders.

With a civil lawsuit now underway, this positive development has been reflected in TAO’s recent price recovery.

Source: CoinGlass

Community sentiment mirrors this bullish shift. On the 17th of October, around 74% of investors were bullish on TAO.

That number has since climbed to 86%, signaling a growing likelihood of more capital flowing into the asset.

Perpetual market remains strong

Investors in the perpetual Futures market continue to maintain a bullish stance. According to CoinGlass, Open Interest—representing the total number of unsettled derivative contracts—rose 9.95% to $26 million.

The Funding Rate has also stayed positive, suggesting most new contracts are long positions as traders anticipate further price appreciation.

Source: CoinGlass

However, Spot investors have been taking profits consistently over the past two days, contributing to mild selling pressure.

So far, total sell-offs have reached $5.25 million, hinting that short-term holders could trigger additional downward movement.

New high in sight

Technical analysis offers a clearer view of TAO’s next move. Based on Fibonacci retracement levels, TAO is currently trading near the $447 resistance line, a zone that could temporarily push the asset lower.

Failure to break above this level might lead to a retest of lower support zones. However, sustained bullish momentum could propel TAO to the next resistance level at $476.

Source: TradingView

This zone remains the final hurdle before TAO can set a new yearly high of $588.

Indicators such as the Relative Strength Index (RSI) show rising momentum, suggesting that TAO may soon break through its immediate resistance level.