Bittensor (TAO) Price: TAO Nearly Doubled in a Month — Now a Warning Signal Is Flashing on the Chart

TLDR

• TAO has surged 160% in just over a month, reaching a peak above $370 before pulling back to around $327.
• A golden cross pattern on the chart has preceded average drawdowns of 40% in three previous instances.
• If the pattern repeats, TAO could fall to around $200 by early May.
• TAO’s RSI has stayed above 70 (overbought territory) for several weeks, raising the chance of a cooldown.
• Social media discussion is high but sentiment is mixed, with only 1.5 positive comments for every negative one — a signal that retail FOMO has not set in yet.

Bittensor’s TAO token has had a strong run over the past month. Since March 8, the token climbed roughly 94%, nearly doubling in price. It hit a high of over $370 on Wednesday before pulling back to around $327 as of Thursday, March 26.

TAO now ranks 27th by market cap at about $3.65 billion, putting it ahead of Shiba Inu and Toncoin.

The token’s rise is tied to its AI-focused use case. Bittensor runs a decentralized marketplace where machine learning models compete to produce useful outputs. Validators are rewarded in TAO based on the quality of those outputs.

Despite the strong price action, a technical pattern is drawing attention from chart analysts. TAO’s 20-day exponential moving average has crossed above its 200-day exponential moving average — a setup known as a golden cross.

While traders often read this as a bullish signal, TAO’s history tells a different story.

What the Golden Cross Has Meant Before

In the three most recent golden cross setups, TAO dropped by roughly 38.5%, 32.5%, and 45.5% within five to six weeks. The average drop was around 40%.

If that pattern plays out again, TAO could fall to around $200 by early May.

Before reversing, the previous golden cross setups still allowed for short-term upside. On average, TAO gained about 21.3% after the cross before turning lower. That would put a short-term target near $420.

The token’s RSI — a measure of price momentum — has stayed above 70 for weeks. Readings above that level suggest an asset may be overextended and due for a pullback.

Broader macroeconomic conditions are also in the mix. Escalating tensions between the US and Iran have pushed oil prices higher, which could fuel inflation and reduce the chances of near-term interest rate cuts from the Federal Reserve.

Social Media Activity Is Up, But Sentiment Stays Cautious

Analytics firm Santiment noted that social volume for TAO across Reddit, X, and Telegram has climbed to its second-highest level in six months. The last time it was higher was during the run-up to TAO’s $529 peak in November.

But sentiment has not followed the same path. The positive-to-negative comment ratio sits at just 1.5 to 1 — meaning for every three bullish comments, there are two bearish ones. That is the third-worst sentiment reading in the past six months.

Santiment said this is generally a positive sign, noting that low retail euphoria means fewer “greedy traders” are involved — which can reduce the chance of a top forming. Still, even rallies with improving sentiment can turn into bull traps when the golden cross fractal is in play.

TAO’s current price sits at around $327, still up over 35% on the week even after the recent pullback from its $370 high.

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