Bittensor (TAO) Soars 10% amid Grave Scam Allegations: Analyst Sees $1,330

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Coinspeaker
Bittensor (TAO) Soars 10% amid Grave Scam Allegations: Analyst Sees $1,330

Bittensor TAO $259.1 24h volatility: 10.8% Market cap: $2.23 B Vol. 24h: $122.26 M , the AI-powered blockchain protocol, is making headlines for both the right and wrong reasons.

While the TAO token has jumped nearly 10% in the past 24 hours, tapping a high of $259.68 and now trading around $254.86, it’s doing so under a darkening cloud of controversy.

Despite facing a searing takedown from crypto analyst Thinking Weird, who calls Bittensor a “scam” with deeply flawed tokenomics and centralized control, the token has defied gravity.

Technical Picture: Falling Wedge Breakout in Play

The chart below shows TAO breaking out of a falling wedge pattern—a bullish reversal setup. After months of lower highs and lower lows, TAO is now pushing against the upper resistance trendline.

With volume ticking up and momentum indicators improving, the setup is ripe for further upside. TAO recently reclaimed the 20-day EMA at $237. A retest of this level is possible and would act as a bullish confirmation if held.

On the other hand, the key resistance lies around $280–$300. A break above this range could trigger a sharp rally.

Meanwhile, the wedge on the chart below implies a potential measured move towards $400 in the near term.

The Relative Strength Index (RSI) is hovering around 55, neither overbought nor oversold, which suggests room to run. The gradient of the line suggests increasing buying pressure.

Additionally, a bullish crossover had recently occurred, signaling a positive trend shift. The histogram also remained bullish for the TAO token with increasing green bars.

It is also important to note that crypto analyst Bitcoinsensus boldly predicted a long-term target of $1,330 per token as the altcoin has formed a double bottom W pattern on the weekly timeframe.

Big Opportunity on $TAO :

Bittensor $TAO is forming a massive double bottom W pattern on the weekly timeframe.
The projected move gives a medium-term target of $1,330 per token.

✅A sign of strength would be the break out of the neckline, and retesting it as support. pic.twitter.com/eHS8mewhH4

— Bitcoinsensus (@Bitcoinsensus) April 17, 2025

Notably, if TAO fails to hold the $237 level or loses the wedge breakout momentum, prices could tumble toward $200 or even revisit the $180–$190 support zone.

The Allegations: A Deep Dive into the Dark Side of Bittensor

Crypto market participant Thinking Weird accused Bittensor of being a VC-backed façade rather than the decentralized AI utopia it claims to be.

The analyst claims that Bittensor’s “Three Giants + Senate” governance is allegedly a closed loop of insiders and employees of the Opentensor Foundation. Moreover, 62.5% of TAO tokens may be held by internal players, raising concerns about decentralization.

Meanwhile TAO shows a $2.19 billion market cap, over 70% of tokens are staked or locked, suggesting poor liquidity and a real accessible market cap closer to $600 million. The cryptocurrencies soared massively last year, claiming $10 billion at peak price.

Further, the dTAO upgrade, intended to expand the subnet ecosystem, has failed. It dilutes liquidity, forces subnet owners to subsidize projects, and benefits validator nodes disproportionately, claims Thinking Weird.

Sub-Subnets are coming to Bittensor (SSNs) 🤯

Just read the latest post by @mxmsbt and it blew my mind.

Subnets have always represented horizontal development across the $TAO ecosystem but until now, subnet owners couldn’t build horizontally within their own subnet.

Soon they… pic.twitter.com/4sbM2CxqM9

— Zora (@ZoraWeb3) April 18, 2025