The AI-focused cryptocurrency Bittensor (TAO) is showing signs of a potential recovery after a prolonged downtrend, according to technical analysis. Its price has stabilized near the $160 to $180 support zone and entered an uptrend, but faces significant resistance around $300. Analysts indicate that a pullback toward the $230 to $260 range could determine the short-term direction, with a break above the $300 barrier needed to confirm stronger momentum.
The AI-focused cryptocurrency Bittensor (TAO) is showing early signs of recovery after exiting a long downtrend, with identified strong demand near the $160 to $180 range. Analyst Michaël van de Poppe views the current TAO/USDT dip as a potential buying opportunity for higher levels. The shift follows a peak above $500 in late 2025 and subsequent months of decline characterized by lower highs and lows.
That uptrend progressed until the price encountered resistance between $290 and $300, where sellers prevented further advancement. The area between $230 and $260 is now a critical focal point, aligning with previous consolidation patterns and proximity to moving averages. A pullback to this zone with lower volume could be a healthy corrective phase before attempting another upward move.
Remaining above $230 is considered essential for the current uptrend’s continuation. A break below that level would weaken the trend and potentially lead to a drop back toward the $180 demand zone. On the upside, a decisive break above $300 accompanied by increased volume would provide market clarity, setting targets at the $350 and $400 resistance areas.
Weekly chart analysis shows a cautious sentiment with Bittensor consolidating in a wide range and repeated false attempts to surpass the $300 to $320 zone. Indicators like the RSI hovering near its midline and the MACD attempting to cross above zero signal indecision and a possible recovery start. The Ichimoku indicator also suggests a sideways market, with the price still below its cloud, which acts as a resistance line.
