Crypto analyst Rekt Capital has flagged TAO’s recent failure to reclaim a key technical level, suggesting the asset may be heading for a deeper retest within its current range. Historically, TAO has shown a pattern: it breaks above the orange support region, retests it successfully, and rallies toward the blue $434 resistance. In previous cases, Bittensor (TAO) would close weekly candles above $434, then retest it on the daily chart before launching into strong upside continuation.

Failed Retest Signals Breakdown

Recent price action started out in similar fashion. But this time, TAO couldn’t hold the breakout. Instead of confirming $434 as support, TAO closed back below it. Over the past two weeks, price has wicked into $434 and rejected, confirming it as fresh resistance.

Rekt Capital notes that this shift changes the picture entirely. TAO is now stuck in a range between the orange region (range low) and the blue $434 level (range high). The latest rejection suggests that the range high is holding, and momentum favors the downside.

Eyes on the Orange Box as Support Test Looms

Unless TAO can quickly reclaim $434 with a Weekly Close, the analyst expects another drop toward the orange range low for a fresh support test. That level has historically acted as a springboard for recovery, but repeated failures to reclaim the top of the range weaken the bullish case.

With trend continuation on pause and downside pressure building, TAO bulls now face a critical test: defend the range low or risk deeper breakdown.

The post Bittensor Faces Rejection at $434, Risks Further Drop appeared first on Coindoo.

---

Filed under: Bitcoin - @ June 4, 2025 6:00 pm