Grayscale’s SEC Filing Ignites Bittensor (TAO) 33% Rally: $500 Target Next?

Grayscale drops regulatory bombshell - SEC trust filing sends Bittensor soaring

The Institutional Stamp

When Grayscale speaks, crypto markets listen. Their latest SEC trust filing for Bittensor triggered an immediate 33% price explosion - because institutional validation still moves markets more than any whitepaper ever could.

TAO's Meteoric Rise

Bittensor's network surged past mere speculation into legitimate investment territory overnight. The $500 price target suddenly doesn't seem so speculative when Wall Street's crypto custodians come knocking.

Regulatory Chess Move

Grayscale's filing represents more than just paperwork - it's a strategic endorsement in the ongoing battle between decentralized AI and traditional finance. Because nothing says 'legitimate asset' like getting the SEC's attention.

Market Implications

The 33% surge demonstrates how thin the line remains between niche AI crypto project and mainstream investment vehicle. One regulatory filing, and suddenly your grandma's retirement fund might be buying TAO tokens.

Because in crypto, the quickest path to legitimacy still runs straight through the very regulators we're supposedly disrupting.

Bittensor (TAO) Price Action: Key Levels, Momentum, and What’s Next

Technically, TAO has staged a strong rebound from the $315 support, just above the 38.2% Fibonacci retracement at $307, and is now holding firm above $410, its highest level in weeks. The MOVE above $327 and $405 confirms a breakout from the year-long falling-wedge structure, confirming a bullish momentum.

Momentum indicators reinforce this view: the RSI has climbed from the low 40s into bullish territory without showing signs of exhaustion, while the MACD has flipped positive after weeks of flattening, supporting the case for continued upside.

Spot volume has expanded sharply, but open interest remains subdued, suggesting that the rally is still largely spot-driven, a healthy backdrop that could amplify gains if sidelined traders chase the breakout.

Immediate supports now sit at $380, $355, and $327, while holding above $405 keeps the door open for a potential run toward $500 in the sessions ahead.

Institutions Accumulate as AI Thesis Strengthens

Away from the tape, institutional accumulation continues to build the floor. Since July, Nasdaq-listed TAO Synergies and xTAO (TSXV) have acquired roughly 83,649 TAO ($26–27M), with a portion reportedly staked at double-digit yields, reducing circulating supply.

Within the AI stack, Bittensor’s subnet design and on-chain incentives keep drawing developers and data providers, and sector trackers now place TAO among the top mindshare leaders in DePIN/AI.

Bottom Line

The breakout above $405 has confirmed the completion of the long-term falling-wedge pattern, a technical milestone that positions the token for a potential rally toward $500 in the NEAR term. Market analysts note that if momentum persists, extension targets between $700–$900 remain firmly on the table.

On the downside, only a decisive daily close back below $355–$327 would weaken the bullish structure and risk pushing TAO into short-term consolidation.

Overall, the backdrop remains constructive. Grayscale’s SEC filing, steady institutional accumulation, and improving on-chain and technical signals have turned the Bittensor (TAO) outlook structurally bullish. As long as price holds above the $405 breakout zone, the path toward $500 appears increasingly credible.

Cover image from ChatGPT, TAOUSD chart from Tradingview