Analyst Stands Firm on Bittensor (TAO) $500 Target Despite Recent Pullback

TAO has seen better days. Bittensor is currently trading at around $201 on the weekly chart after plummeting from its all-time highs above $500. This has been a tough ride, and prices have declined by over 60% from their peak. Yet, there is a story brewing beneath all this. It has analysts calling this a buying opportunity rather than a reason to run.

Crypto analyst 2xnmore remains bullish on TAO, calling it the top AI pick in crypto to date. His thesis centers on the decentralized network powering real-world AI applications, a use case that separates TAO from speculative tokens with no fundamental backing. The chart shows the pullback, but the fundamentals scream opportunity.

• The TAO Weekly Chart Reveals the Full Picture
• The Fundamental Case for TAO
• What Comes Next for the TAO Price

The TAO Weekly Chart Reveals the Full Picture

The same is shown on 2xnmore’s LINK article above for potential grammatical errors and fix them. Do not rewrite the rest of the text. and show me where the errors are in the weekly chart. TAO has gone from $100 to $500+ within a short time from 2024 to 2025. Anyone who caught this ride saw significant gains… However, after that ride, a long correction has caused the price to fall by 60%, from $500+ to $201.

As you can see from this chart, it is a textbook bear market. The only problem is that volume is falling along with the price. However, it is apparent that selling pressure is easing up.

What is interesting is that instead of falling to nothing like most other prices during a bear market, TAO has remained above its pre-rally levels and has been trading within a range of $180-$250. This is a common sign that a new run may begin when the market turns around.

Source: X/@2xnmore

From a technical perspective, it is also apparent that a new rally is about to begin.The RSI is currently at 41.76, closing in on the oversold region. This is the second time it has reached a similar level, with the last being 39.88.

As for the MACD, it is at -3.9, with the signal line at -44.7. The gap between them is closing,indicating a decrease in bear. The volume at 419,710 TAO is low compared to the rally highs. This is a sign that a consolidation is occurring.

The Fundamental Case for TAO

2xnmore’s bullish thesis rests on fundamentals, not charts. TAO powers a decentralized machine learning network with real users and infrastructure.

While countless AI tokens faded, TAO maintained development and community engagement throughout the bear market. That resilience matters when capital rotates back into AI narratives. His $500 target represents more than double the current TAO price, plausible if the broader market cooperates.

Not every fallen angel flies again. The TAO price could consolidate or break lower. The weekly chart shows no clear reversal yet. Support levels are around $180, with a second level at $150. If the price falls below these levels, a fall to $100 is a strong possibility.

This would negate the bullish argument. For now, TAO is consolidating, fundamentals are strong, and analysts are seeing opportunities that others are missing as the price drifts lower.

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What Comes Next for the TAO Price

The TAO price sits at a level where fundamentals and technicals are starting to align. The pullback has been deep enough to shake out weak hands. The network continues building real-world AI applications.

The weekly chart shows consolidation rather than freefall. And analysts like 2xnmore are calling this a buying opportunity. For the TAO price to reach $500, it would need to reclaim the $250 level first, then break through the $300 to $350 resistance zone.

Above that, the path opens toward the all-time highs and eventually the target. The setup exists. The question is whether the broader market provides the tailwind needed to complete the journey.