Bittensor (TAO) Struggles at $421: Can Bulls Defend Critical $412 Support?
- Bittensor (TAO) dropped 5.54% to $421.32, continuing its short-term bearish trend despite a strong longer-term performance.
- Price remains below the 9 EMA at $428.03, showing ongoing selling pressure.
- RSI at 37.86 and a bearish MACD crossover signal weak momentum and limited buyer interest.
- Key support is near $412, while a move above $428 could open room toward $437$440.
Bittensor (TAO) is trading at $421.32, reflecting a decline of 5.54% in the last 24 hours. The broader technical trend remains bearish, with price action consistently trading below short-term resistance levels. Looking at the larger time frame TAO is showing bullish price trajectory and significantly up by almost 75%.
Bittensor (TAO) Eyes Support at $412
On the 4-hour chart, TAO has slipped under the 9-period exponential moving average (EMA), which currently sits at $428.03. This indicates that sellers are maintaining pressure, keeping the price under a key dynamic resistance zone.
Bollinger Bands also reinforce the bearish narrative. The current price is hugging the lower band at $412.94, while the middle band (20-period simple moving average) is positioned at $437.58. This placement suggests that TAO is experiencing persistent downward pressure, with limited signs of bullish reversal. The upper band caps potential upside at $462.21, establishing the next major resistance zone.
Looking at momentum indicators, the Relative Strength Index (RSI) is hovering at 37.86, which is below the neutral 50 mark. This level reflects weak buyer momentum and puts the asset close to the oversold threshold. Notably, the RSI has been following a descending trendline, showing consistent rejection from lower highs over the past week.
The Moving Average Convergence Divergence (MACD) also aligns with the bearish outlook. The MACD line is at -2.70, while the signal line trails further at -3.67, maintaining a bearish crossover. Although the histogram is showing some contraction, indicating a potential slowdown in selling, there is no confirmation of a reversal yet.
Bittensor (TAO) is currently in a short-term downtrend, facing clear resistance at $428 and support near $412. A break above the 9 EMA could open the door for a recovery toward the $437$440 range. Until then, traders should remain cautious, especially if price fails to hold above the lower Bollinger Band. Keep an eye on RSI and MACD behavior over the next few sessions for early signs of a momentum shift.
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Read more: https://www.tronweekly.com/bittensor-tao-struggles-at-421-can-bulls-defend-critical-412-support/
Text source: TronWeekly
