TAO Price Bears Maintain Control as Daily Trend Remains Bearish

Source: CryptoNewsNet Original Title: TAO price bulls fail to reverse daily bearish trend structure Original Link:

TAO Price Under This Zone: A Compelling Accumulation Opportunity?

Some analysts argue that buying TAO at current levels is comparable to acquiring Bitcoin under $300—suggesting significant long-term value.

Current Market Status

TAO has declined approximately 5–6% over the last 24 hours and is trading in the mid-$200s range. Despite short-term weakness, the asset remains substantially higher on a year-to-date basis compared to early 2025 levels.

Short-term outlook (24h): Bearish correction
Year-to-date structure: Structurally bullish, but currently experiencing a mid-cycle drawdown

Technical Analysis Summary

Price Action:

• Spot price: ~$250–265 USD
• 24-hour change: −5.5% to −8% depending on venue
• Price remains below both short and medium-term exponential moving averages (EMAs)
• Each bounce has been sold into, confirming bearish pressure

Momentum Indicators:

• MACD: Rolling over from recovery into renewed weakness
• RSI: Trending lower, indicating seller dominance without reaching extreme oversold conditions
• Momentum has flipped bearish, signaling sellers maintain control

Key Price Levels

Resistance:

• Immediate resistance near a short-term ceiling that previously provided support
• Breaking above this level could open a higher trading range
• Broader structural resistance requires a decisive move to signal buyer regaining control

Support:

• A nearby support cluster represents a critical stabilization zone
• Failure to hold this level would expose TAO to deeper downside
• Order book data shows large bid walls positioned below current price

Supply Pressure:

• Substantial ask walls in the mid-range indicate heavy supply overhead
• Clearing these sell orders requires increased momentum and volume

Trading Perspective

Short-term strategies: Long positions may be suited for tactical setups (fade-the-dump scalps) rather than trend-following approaches. Short-side strategies align with the prevailing downtrend, particularly on rallies into resistance.

Volatility consideration: Key support zones remain volatile and require careful position management.

Overall Assessment

The asset maintains a bearish bias on the daily chart, with trend and momentum indicators aligned to the downside. While temporary bounces are possible, sellers maintain control until the price can reclaim and hold key resistance levels.

Longer-term context: TAO remains structurally tied to AI infrastructure themes and halving-driven scarcity dynamics, sitting far above legacy trading ranges. However, it faces clear downside risk if AI risk-assets continue to de-rate during this mid-cycle drawdown phase.