Bittensor [TAO] surged 15.8% over the past 24 hours and climbed to $247.70 as trading activity returned aggressively across the market.
Daily trading volume expanded 87.3% to $272.8 million, highlighting a sharp increase in participation after several weeks of persistent weakness.
The rally developed after TAO spent much of May and early June trapped within a declining structure that repeatedly rejected recovery attempts.
As buying interest strengthened, traders pushed the token back toward the key $255 resistance zone that previously acted as support before the broader correction unfolded.
However, TAO still traded beneath the major $300 barrier, leaving a significant hurdle ahead. Even so, the latest advance ranked among the strongest daily recoveries in recent weeks and shifted short-term sentiment in favor of the bulls.
Why does selling pressure linger around TAO?
Despite the sharp recovery, underlying order-flow data painted a more cautious picture.
Spot Taker CVD remained seller-dominant, indicating that aggressive market sellers continued to outweigh aggressive buyers throughout the rally.
The divergence suggested that passive bids absorbed sell-side pressure rather than buyers chasing price higher through market orders.
While the strong price appreciation reflected improving sentiment, the imbalance in taker activity showed that conviction had not fully shifted in favor of the bulls.
Nevertheless, TAO maintained its gains even as sellers remained active, which highlighted growing demand around current levels.
If buyers continue absorbing available supply, sentiment could improve further. However, persistent seller dominance could still slow the recovery if demand begins to weaken.
Channel breakout shifts TAO technical picture
A notable change emerged on the daily chart after TAO broke above its descending channel, ending a structure that had guided price lower since May.
Buyers first defended the $192 support region before driving the price sharply higher and reclaiming ground toward the middle of the previous trading range.
The breakout also carried the price above the channel’s upper boundary, which strengthened the bullish case for a broader recovery.
Meanwhile, MACD showed early signs of stabilization after recovering from deeply negative territory. The histogram flipped positive, while the MACD line attempted a bullish crossover beneath the signal line.
Although the crossover had not fully completed, the improving structure indicated that bearish pressure had weakened considerably.
Should buyers maintain control above the breakout zone, TAO could challenge the $255 resistance area before targeting the psychologically important $300 level.
Final Summary
- TAO broke above its descending channel as volume and demand accelerated.
- Seller dominance persisted, yet buyers continued absorbing supply during recovery.