TAO (Bittensor) fluctuated by 37.1% within 24 hours, plunging over 18% after hitting a high of $341.2: CovenantAI's exit sparked the sell-off

Volatility Brief

In the past 24 hours, TAO price surged from a low of $248.8 to a peak of $341.2, then quickly retreated to the current $268.7, with an overall fluctuation amplitude reaching 37.1%. Trading volume spiked to approximately $1.74 billion, significantly higher than usual, reflecting a wave of panic selling in the market.

Summary of Abnormal Movement Reasons

- Covenant AI exits Bittensor network: On April 10, major subnet provider Covenant AI announced its exit and publicly criticized the centralization of network governance and the excessive control held by founder Jacob Steeves, which directly triggered a 19% collapse in TAO price and wiped $900 million from its market cap.

- Unusual activity in trading volume and search interest: Despite an increase in Google search interest and a 24-hour trading volume of $1.75 billion, on-chain data indicates that selling pressure is dominant with no clear signs of whale net inflows.

Market Views and Outlook

The mainstream market sentiment has turned cautious and bearish. Analysts warn of short-term double-digit downside risks, while technical indicators remain neutrally weak, testing the $290 support level. Community discussions are focused on governance concerns; although recent posts on X show optimism about TAO's long-term AI potential (e.g., subnet expansion), post-event sentiment is dominated by selling, and any short-term rebound will depend on how the exit impact is digested.