TAO Price Holds $360 Support as Bears Test Bulls’ Commitment

• TAO must hold $360 to prevent a potential drop to $220.
• Sturdy’s SN10 subnet shows rising confidence in DeFAI infrastructure.

Bittensor’s native token, TAO, is under renewed selling pressure after failing to hold gains above the $360 mark. TAO/USD slipped below its recent high of $394.75 and is now hovering just above the $360 mark, a level that has served as both support and resistance in past months. 

According to data from the 1W perpetual chart, the $470 resistance continues to cap bullish advances, having rejected multiple attempts in recent weeks. The token is currently priced at $368.49, down 7.72% in the last 24 hours.

Crypto analyst CryptoTony  highlighted the importance of the $360 level, stating that “bulls want to hold $360 today.” A close below this line on the weekly chart could lead to a retest of the next key support near $220, last visited in April. The recent bearish candle formations suggest increasing selling pressure and heightened uncertainty in the short term.

Price Action Reflects Short-Term Bearish Trend

TAO’s recent pullback from $394.75 has shifted short-term sentiment into bearish territory. The price has seen a sharp rejection from its recent local top, which now acts as a resistance area. The decline toward $360 indicates a cautious stance among market participants.

Despite this, the price has shown brief stabilization above support. If the $360 level continues to hold, the token could see a period of consolidation before another test of the upper range.

Failing to maintain this level, however, may lead to increased downside risk, with $220 acting as the next likely support zone.

The overall structure remains confined within a horizontal range, with bulls needing to reclaim ground above $470 to shift long-term sentiment. For now, the mid-range zone around $360 is critical in determining the next significant move.

Sturdy’s TAO-Powered Subnet Records Over $275M in Allocations

While TAO’s market action remains uncertain, its underlying network continues to build traction. Sturdy Finance’s decentralized AI engine, SN10, which operates on the TAO subnet, has crossed $277.6 million in total volume allocation. This data reflects a steady uptick in activity since SN10’s rollout in August 2024.

The subnet intelligently allocates capital across allowed silos within Sturdy’s ecosystem, using AI to optimize yield. The volume chart shows a consistent increase, suggesting strong inflows and growing user confidence in AI-managed DeFi systems.

With allocations nearing the $300 million mark, Sturdy’s integration of decentralized finance and artificial intelligence DeFAI is gaining momentum.

The success of SN10 adds a layer of utility to the TAO ecosystem, potentially strengthening long-term value despite short-term market weakness. As usage grows, on-chain metrics could become an increasingly important factor in supporting the token’s price stability.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.