The crypto AI sector’s market capitalization grew from $12.76 billion to $14.42 billion over the past month, data shows. However, Bittensor (TAO) has faced bearish pressure after a brief rally toward $200, with analysis indicating it may be headed toward range lows near $165.
The cryptocurrency AI sector saw overall growth in the past 30 days. According to CoinMarketCap data, its total market cap increased from $12.76 billion to $14.42 billion.
This performance was especially noticeable in mid-February. At that time, TAO rallied almost 50% within five days before giving up its gains.
Recent data reveals short-term bearish sentiment for TAO. Coinalyze showed a 6% Open Interest increase in the past 24 hours, largely from a rally to $200 on March 7th.
This rally lacked sustained demand, as evidenced by a declining Spot CVD and predominantly negative Funding Rates in March. Together, they highlighted short-term bearish market sentiment.
On the chart, TAO has traded in a range between $165 and $200 since mid-February. At the time of writing, momentum was bearish and the OBV indicated heightened selling pressure.
Combined with Bitcoin sliding below $70,000, analysts expect TAO is headed toward the $165 range lows next. “The attempted TAO rally to $200 on Saturday was quickly thwarted, and $165 seemed to be the next target,” the analysis stated.
The past month’s liquidation heatmap from CoinGlass highlighted $160 and $200 as key zones. These range extremes present potential areas for traders to consider.
While the longer-term trend for TAO is bearish, traders might benefit from trading the range until it breaks. The analysis, however, offered a standard disclaimer that the information presented does not constitute financial advice.
