TAO Struggles at Resistance After Breaking Critical $290 Support Level

TAO, the native token of Bittensor, is currently trading at $329.24, following a 6.8% weekly decline. The price has been confined within a narrow range, with support holding at $305.90 and resistance capping upward moves at $331.60, near the upper boundary of a falling channel pattern.

Recently, TAO broke below the key $290 support level, which had acted as a multi-month demand zone since July. This breach has shifted the short-term market structure to bearish, exposing the token to potential deeper losses with no immediate strong support below. Data from Token Terminal revealed a 24-hour trading volume spike to $1.5 billion, one of the highest since early October, but this was driven by seller dominance.

CryptoQuant's Spot Taker Cumulative Volume Delta showed persistent sell-side pressure, with the 90-day profile leaning red, indicating aggressive market-order selling and thinning spot buying volume. Concurrently, TAO's BTC pairing rose to 0.003579 BTC, a 1.3% gain, adding context to the token's controlled short-term dynamics amid broader market conditions.