Foreign media reports that Bittensor's token TAO has been under continuous pressure recently. After being resisted at the $285 level, the price has hit lower lows for seven consecutive days, once falling back to around $222, nearly erasing the gains made earlier this month. The article believes that the dominance of selling pressure in the spot market, coupled with active large-volume transactions, is a major reason for the continued decline.
Selling pressure continued after the price broke below the moving average.
From a technical perspective, the TAO has broken below both short-term and long-term moving averages. The RSI has also shown a bearish crossover and fallen back to 44, indicating that short-term momentum continues to weaken. Based on this, foreign media outlets believe that the TAO is currently still in a weak range, and the market has not yet shown clear signs of a bottoming out.
Spot data points to seller dominance.
AMBCrypto, citing CryptoQuant data, reported that the average order size in the spot market rose over the past week, indicating increased participation from large funds. However, this indicator itself cannot directly distinguish between buying and selling.
A more indicative indicator of market direction is the Spot Taker CVD. The fact that this indicator remained negative throughout the same period suggests that active selling pressure consistently prevailed. Combined with the activity of large orders, the article argues that whales are more likely to be continuously selling rather than buying at lower prices.
Furthermore, spot trading volume data also shows that since June 14, the selling volume has consistently exceeded the buying volume, and the bid-ask spread has been negative for seven consecutive days, further indicating that the selling pressure in the spot market has not eased.
- The price previously encountered resistance around $285.
- The recent low has fallen back to $222.
- The bid-ask spread has remained negative for 7 consecutive days.
$214 and $200 become the short-term focus.
The article suggests that if the current selling pressure continues, TAO may first test the $214 level. Once this level is broken, the market will then focus on the $200 psychological barrier.
If the $200 level is breached, bearish momentum could intensify, and the price risks testing $185. Conversely, if buying rallies and pushes the TAO back above the short-term EMA, closing above $248, the weak structure could be broken, and the price could have a chance to retest the $280 level.
Overall, the core judgment of this commentary is that the current decline in TAO is not simply a technical correction; both spot selling and whale trading are bearish, making the short-term trend still weak.
