Bittensor (TAO) has seen a continued decline over the past few days, with around a 40% drop in the past 7 days. This dip may not be over, as indicated by technical analysis from expert analyst Ali on X.
Despite some gains two weeks ago, TAO price remains trapped in a concerning downtrend that could send Bittensor price significantly lower. Ali warned followers recently:
“Yes, Bittensor TAO was among the top performers last week, but it remains in a downtrend and could retest the lower boundary of this channel at $220,”
Looking at the daily timeframe chart, TAO price action reveals a clear pattern of decline from its peak near $700. Currently trading at $323.70 after dropping 7.72% in the last 24 hours, the cryptocurrency appears vulnerable to further losses.
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Some Key TAO Price Levels to Watch
The chart shows several critical price levels that traders should watch closely. Strong support has formed in the $220-$225 range, where buyers have previously stepped in to halt declines. Meanwhile, resistance levels have established around $425 and $700, creating obstacles for any potential recovery.
Technical indicators paint a bearish picture. The formation of consistently lower highs and lower lows signals that selling pressure remains dominant. The price is currently testing mid-range support between $365-$425, and a breakdown below this zone could accelerate the decline.
A Key Support Before Continued Bittensor Price Decline
Particularly concerning is the $285-$300 support area. If TAO fails to hold above this threshold, a swift drop to test the channel’s lower boundary at $220 becomes highly probable. This key support level represents the last major defense before potentially steeper declines.
While TAO did show strength 2 week, this appears to be merely a corrective bounce within the larger downtrend rather than a sign of reversal. The overall market structure remains bearish, supporting Ali’s prediction that prices could soon revisit the $220 level.
Read Also: Litecoin (LTC) Price Eyes Breakout: Watch This Key Level for a Major Rally
If the current support at $323 gives way, traders should prepare for a quick move down to $285 before a potential test of the critical $220 zone. A bounce from this level could signal temporary relief, but failure to hold would likely trigger an extended decline.
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