TAO price forecast: Can Bittensor finally exceed $220?

TAO prices are recovering after months of selling.

Bittensor performed well today, rising 2.84% in the past 24 hours and currently trading at US$198.48, far exceeding Bitcoin's 0.94% increase. The reason behind this: Buyers are returning to AI-related tokens. Ecosystem sentiment is improving, with more users participating in pledges, and the December 2024 halving event halved daily emissions. This means that the pressure on new supplies to enter the market is reduced, and the overall selling pressure is correspondingly reduced.

Despite a 48% drop from its April high, TAO is still operating within a clear trading range and has not fallen below the lower trajectory. This has led many traders to wonder: Is this lull in preparation for the next major market? The answer may lie in a key price point that has suppressed all attempts at a rebound since June.

Why some analysts think TAO is about to break through

We looked at Bittensor's chart and found that TAO prices are currently trading around $198 after falling back from a high of nearly $380 in April. Since early June, each rally has reached a lower high than the previous one, but the magnitude of each correction has also narrowed. Prices are being squeezed into increasingly narrow ranges, a pattern that usually means a directional breakthrough is imminent.

In addition, there is clear bottom support at US$170.5. Throughout the pullback process, buyers successfully defended at this price point every time.

$TAO fell 48% from its April high, and the market fell silent. This silence is a sign of momentum. Looking at the daily chart, every K line since June is smaller than the previous one. Sellers pushed the price down from $280 to $198, but momentum still refused to break down. MACD levels off near the zero axis...

indicator also confirms this point. MACD is leveled near the zero axis, and neither long nor short side dominates. The RSI is at 40.84 and has remained above the 40 level for three consecutive weeks. This suggests that selling pressure is weakening rather than intensifying. After months of decline, the market began to stabilize.

Cryptocurrency analyst 2xnmore believes that the market has ignored an important change: daily TAO emissions dropped from 7200 to 3600 after halving in December, significantly reducing the amount of new supplies entering the market every day. If buyers recover $220, they will break the lower high pattern and short positions may be forced to cover. A loss of $170.5 would negate this bullish expectation.

Factors driving Bittensor prices this week

The biggest ecosystem update is the v431 protocol upgrade, which fully introduces Conviction functionality and enables real-time operation of the subnet ownership economy. The release also adds new SDK security features and Rust based developer tools, aiming to strengthen AI-centric decentralized organizations and make the network more attractive to developers.

TAO is approaching a critical turning point. The greatest resistance remains in the $202 to $220 range, a position where selling pressure is encountered every rebound. In addition, TAO is still trading below the Ichimochi equilibrium cloud chart, which does not bode well for bulls.

On the positive side, support for $178 remains solid. As long as buyers continue to stick to that price, the recovery story can continue. But unless prices truly break through the upper resistance, market sentiment will not turn easily.

Bittensor also continues to benefit from its position in the AI cryptocurrency space. The project remains one of the largest decentralized machine intelligence markets, allowing it to appeal to investors looking for practical AI networks rather than chasing the Meme market.

Key level to watch for TAO prices

The first level buyers need to recover is $202, where many rebound attempts during July were thwarted. After successfully breaking this level,$220 will become the next target, which is also the most important resistance level, as a breakthrough will end the pattern of lower highs that have been formed since April.

Support is clearly in the range of US$178 to US$170.5. $170.5 has always been a key line of defense, and buyers have successfully defended here every time throughout the pullback. Therefore, this position will determine the next step: either the range will remain or the price will fall further. If sellers eventually break through that support, the next real bottom will be around $145.

TAO Price Forecast: Can Bittensor exceed $220?

If the broader crypto market remains supportive, TAO prices have a real opportunity to challenge $220. Improved developer activity, v431 upgrades, reduced daily token emissions and stabilizing momentum indicators all strengthen the case for recovery. If TAO closes above $220, it will clear the way for a move into the $240 to $260 range, where sellers stepped in May.

The neutral scenario is similar to the current situation: prices hover between $178 and $220, and traders wait for volume to increase before acting.

But if the $170.5 support eventually falls, sellers may quickly take over and the next real support level will look towards $145.

Currently, Bittensor's chart is telling you to be patient. Volatility is being compressed, which usually means a bigger market is coming-but the direction is unclear.

Frequently Asked Questions

Is Bittensor (TAO) a good investment? Bittensor (TAO) is a highly volatile and speculative investment, mainly suitable for aggressive investors who can bear the risks of decentralized AI cryptocurrencies. Although it has significant growth potential due to its link to the booming AI industry, its subnet economy has yet to be verified, and there have been many price fluctuations in history that have dropped by more than 70% from previous highs.

Can TAO become the next Bitcoin? There is a lively discussion about whether Bittensor (TAO) can become the "next Bitcoin". Although TAO is not intended to replace Bitcoin, it has earned the nickname "Bitcoin of AI" due to its token economy model.