TAOBTC Breaks Below Key Support, But Bulls Regain Ground by Close

Summary
• Price tested a key support at $0.002500–$0.002510 before rebounding.
• Momentum weakened midday but reaccelerated into the close, with RSI near neutral levels.
• Volume spiked during the early morning selloff but has since normalized, with no divergence detected.
• Bollinger Bands showed a recent contraction, hinting at a potential breakout.
• A bearish engulfing pattern formed during the early morning selloff, signaling short-term bearish pressure.

Bittensor/Bitcoin (TAOBTC) opened at $0.002539 on 2026-02-05 12:00 ET, reached a high of $0.002570, a low of $0.002430, and closed at $0.002541 by 2026-02-06 12:00 ET. The total volume was 8,040.09, and notional turnover amounted to 20.49 BTC.

Structure & Formations

Price action showed a strong bearish breakdown below $0.002510 in the early hours, followed by a consolidation phase into the mid-range. A bearish engulfing pattern at the bottom of the breakdown confirmed short-term bearish pressure. A support cluster formed between $0.002500–$0.002510, and resistance appears to be consolidating near the $0.002540–$0.002550 range.

Moving Averages

On the 5-minute chart, the 20-period and 50-period SMAs show a crossover in favor of bulls, with price currently above both. Daily SMAs (50/100/200) are neutral with no clear directional bias, suggesting medium-term uncertainty.

Momentum & Volatility

The RSI reached oversold territory early in the session but returned to neutral levels by the close, indicating some momentum recovery. MACD lines crossed into positive territory in the last few hours, suggesting renewed bullish momentum. Bollinger Bands showed a contraction in the early morning, suggesting a possible breakout in the coming session.

Volume & Turnover

Volume spiked during the early morning selloff but has since settled into a more normal range. Notional turnover increased alongside the price rebound, offering confirmation rather than divergence. The lack of divergence suggests the recent consolidation may continue.

Fibonacci Retracements

Fib levels on the 5-minute chart show price currently consolidating near the 50% retracement of the recent swing. On the daily chart, the 38.2% and 61.8% levels are close to the current price range, indicating a key decision point for the next 24 hours.

Bulls may attempt to push above $0.002550, but bears could retest the $0.002500 level. Traders should remain cautious ahead of potential volatility, with key levels to watch being the $0.002510 support and $0.002550 resistance.