TAO Price Plummets 10% as Derivatives Market Shows Weakening Demand

TAO's price action faced a sharp rejection around $329-resistance recently, ending its bullish momentum.

The token then recorded three consecutive days of losses, including a decline of 10% in just 24 hours.

This correction may be evidence of profit-taking after TAO's strong gains last week.

As traders locked in profits near the key resistance level, the token fell below its previous swing high at $289.

The daily chart shows that the nearest EMA support zone is a crucial level for buyers to defend.

If TAO holds above this dynamic support, it may stabilize after the recent sell-off.

However, a decisive break below the EMA could expose the token to deeper downside as selling pressure builds.