📉 A black swan event in the AI sector: TAO has dropped over 24% within a week, falling below the $300 mark.
Bittensor (TAO) plummeted after core developer Covenant AI announced their departure from the ecosystem and accused co-founder Steeves of having too much influence over governance, compounded by large-scale long position liquidations, causing the price to crash. Currently, the TAO trading price is about $238.91, further dropping approximately 7% in the last 24 hours.
⚠️ However, five signals are worth noting:
Signal One: Institutional demand remains. Grayscale Investments has increased the weight of Bittensor in its AI fund to 43.06% earlier this month and has applied to convert it into a spot ETF.
Signal two: Network expansion is imminent. Bittensor plans to increase the subnet capacity from 128 to 256 this month to provide a foundation for more AI projects.
Signal three: Supply is extremely scarce. After the halving, the daily new supply of TAO is only 3,600 tokens.
Signal four: Whales are quietly accumulating FET. In March, large wallets have accumulated up to 100 million FET. More notably, a listed company is planning to raise $500 million to hold FET tokens. The ASI merger case is not yet completed, and there are still catalysts in the future.
Signal five: Fund flows into competitive tokens. Funds are clearly flowing into alternative AI tokens like NEAR and ICP, while RNDR and FET show relatively strong resilience, with a smaller adjustment than TAO.
📊 TAO trading opportunity
Parameter Value
Current price approximately $239
Entry point $210 - $240 (accumulate in batches, with the recent low around $230 being key support)
Take profit point 1 $260 (short-term stabilization signal, rising above this is considered stable)
Take profit point 2 $300 (psychological barrier)
Take profit point 3 $400-450 (medium-term target)
Stop loss point $200 (exit if it falls below the previous low)
Recommended leverage 2-3 times (preferably spot)
Margin ratio Total funds 2-4%
💡 FET trading opportunity
Parameter Value
Entry point $1.70 - $1.85 (waiting for the pullback support area)
Take profit point 1 $2.30 (ASI merger catalyst)
Take profit point 2 $2.80 - $3.00 (expectation of increased holdings by listed companies)
Stop loss point $1.55
Recommended leverage 3-5 times
Margin ratio Total funds 2-3%
💡 RNDR trading opportunity
Parameter Value
Entry point $1.65 - $1.80
Take profit point 1 $2.10
Take profit point 2 $2.50
Stop loss point $1.50
Recommended leverage 2-3 times
Margin ratio Total funds 2-4%
⚠️ Risk warning: TAO is currently still the top-ranked AI token by market cap, ranked 33rd overall. The recent low around $230 is viewed as key support. If it can rise above $260, it will be seen as a short-term stabilization signal. However, the subsequent development of governance disputes will affect the long-term trend, so be sure to strictly control positions.
👉 TAO plummeted 24% breaking $238, will you panic sell or accumulate in batches? Which do you favor more, FET or RNDR? Let's chat in the comments below 👇