Bittensor (TAO) has plunged 10% in a single day, shattering its crucial $360–$370 support zone. This alarming drop has traders scrambling to assess whether this is a temporary correction or the start of a steeper decline. With the price now hovering near $342, all eyes are on the next critical support level at $340.
Why Did Bittensor Price Crash Through Key Support?
The breakdown below the $360–$370 Fibonacci support zone has triggered significant bearish momentum. Technical analysts highlight three key factors:
- The 0.618 Fibonacci retracement at $353 failed to provide meaningful support
- Increased selling pressure across the broader cryptocurrency market
- Lack of immediate bullish catalysts for TAO
Critical Support Levels to Watch for Bittensor
Traders are now closely monitoring these crucial price levels:
| Support Level | Price | Significance |
|---|---|---|
| Immediate Support | $340 | Psychological and technical barrier |
| Secondary Support | $323 | 0.79 Fibonacci retracement |
| Major Support | $285 | 1.0 Fibonacci retracement |
Can Bittensor Recover From This Cryptocurrency Decline?
While the current trend appears bearish, analysts note potential recovery scenarios:
- A strong bounce above $360–$370 could target $440–$460
- Sustained volume during the drop suggests ongoing interest
- Market capitalization remains stable at $4.98 billion
How Does Bittensor’s Altcoin Volatility Compare?
The TAO price action reflects broader market weakness, with several observations:
- Bitcoin and Ethereum are also under pressure
- Risk-off sentiment is affecting most altcoins
- No project-specific news is driving the decline
The coming days will be crucial for Bittensor as traders watch the $340 level. A successful defense could spark recovery, while a breakdown may accelerate losses. This makes the current moment particularly decisive for TAO’s medium-term trajectory.
Frequently Asked Questions
What caused Bittensor’s price to drop 10%?
The price fell after breaking below the key $360–$370 Fibonacci support zone, triggering technical selling amid broader market weakness.
Is this a good time to buy Bittensor?
Traders should wait for confirmation of support at $340 or a successful retest of $360–$370 before considering new positions.
What are the worst-case scenarios for TAO price?
If $340 fails, the next major supports are $323 and $285, which could come into play if bearish momentum continues.
How does Bittensor’s trading volume look during this drop?
Volume has remained relatively stable at $266 million, suggesting the drop isn’t accompanied by panic selling.
Could Bittensor recover quickly from this decline?
A swift recovery would require reclaiming $360–$370, which could then target $440–$460 resistance zones.
