Bittensor Breakdown: Will TAO Plunge to $225?

Bittensor's TAO token faces critical resistance as market sentiment turns cautious. The decentralized AI protocol struggles to maintain momentum amid broader crypto volatility.

Technical Analysis Outlook

Chart patterns suggest potential support breakdown around the $225 level—a psychological threshold for traders. The AI-driven network battles network congestion issues while competing protocols gain traction.

Market Realities

Whale movements indicate shifting positions ahead of key network upgrades. Trading volume patterns reveal institutional hesitation—because nothing says 'confidence' like hedge funds playing hot potato with AI tokens.

Make or Break Moment

The coming weeks determine whether Bittensor's machine learning marketplace can defy gravity or joins the graveyard of overhyped protocols. TAO either validates its AI narrative or becomes another casualty of crypto's relentless Darwinism.

• Bittensor slipped 1.79% to $299.61, holding a $2.98 billion market capitalization.
•  TAO has broken a symmetrical triangle, with $250–$225 regarded as critical short-term support.
•  Volume of derivatives trading declined 31.99% to $223.12 million, while open interest was unchanged at $275.79 million.

Bittensor (TAO) is under noticeable selling pressure after losing a key technical formation. TAO declined further during the day, trading at $299.61 with a daily fall of 1.79%, with selling pressure remaining dominant over the token.

Having a market capitalization of $2.98 billion and high trading volume, TAO is now facing major technical levels, which have the potential to determine its short-term direction in price. The trading volume per day was $189.79 million, and the project has a $2.98 billion market capitalization with a 0.08% market share.

Market observers highlight that TAO recently broke down from a symmetrical triangle pattern, a situation oftentimes found just before sharp changes in direction. After a failed backtest, the price was rejected, an indicator of possible short-term future weakness.

Bittensor Faces Critical $250–$225 Zone

According to the analyst CryptoPulse post, the value of Bittensor may continue to decline should the overall correction in the market continue. The technicals are suggesting the $250–$225 range as a possible area of interest here. This point could attract renewed interest among buyers, potentially serving as support for a rally back.

Meanwhile, technical analysts advise market participants to watch out for a clean confirmation before entering new entries. Since the sentiment remains cautious, all eyes remain on whether Bittensor stabilises around major support or corrects steeply in the next sessions.

Bittensor’s derivatives market shows volume weakness

Bittensor derivatives market records a slight dip in the level of activity. Open interest declined 0.09% to take it down to $275.79 million, suggesting that investors are maintaining their positions with only minimal changes. Meanwhile, volume declined more considerably by 31.99% to $223.12 million, registering smaller short-term interest and cautious trading activity.

For the Open Interest Weighted indicator, it is 0.0056%, pointing to a relatively stable situation with non-extreme leverage buildup. This also indicates investors with neutral outlooks on TAO’s future direction, expecting a more robust trend before making bigger commitments.