TAO Technical Update: The Final Shakeout Before the AI Surge? 🚀
Observing the current TAO/USDT chart at a price of $231.0, the market is indeed testing the patience of holders. However, if we dig deeper, there are significant opportunities behind this "pain":
1. Price Structure Analysis (The Bottoming Process)
Strong Support: We see that TAO has just bounced off the critical area of $206.3 in December. Currently, the price holds at $231.0, indicating accumulation in the lower zone.
Supertrend Indicator: The red line still looms above, but the gap is starting to narrow. This often signals that sellers (bears) are running out of steam.
2. Hidden Scarcity (The Supply Shock)
Even though the chart looks red, don't forget that ~87% of the total supply of TAO is currently being staked (locked) by institutions.
With the first Halving just passed in December 2025, the amount of new coins entering the market is significantly less.
3. Institutions Are Not Panicking, Why Should You?
Grayscale continues to hold TAO in their AI portfolio. They see far beyond daily volatility.
A decline of -48% in the last 90 days has historically often been a turning point (reversal) for assets with strong fundamentals like Bittensor.
Conclusion:
We are currently in the "Capitulation" phase. Where retail gives up, but institutions quietly absorb supply at discounted prices. The Mid-2026 target remains the main focus for the actual price explosion when the Global AI narrative peaks.
💎 HODL Strong. Let the weak hands exit so the giants can lift the price. 💎
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