TAO Price Rally: Analysts Eye $3,000 Target as Halving Boosts Scarcity Narrative

The price of TAO has rallied by 89% from an analyst's accumulation zone, leaving investors wondering if it's still on track for another rally. Crypto Patel, a bullish analyst who stuck to his predictions throughout the correction, notes that even after this bounce, the move might still be early.

Patel's long-term target is $3,000, and he believes the bullish case stays intact as long as the higher-timeframe structure holds up. The market appears to be paying attention, with TAO trading around $272.58, up 2.47% on the week.

The first halving in December 2025 reduced block rewards from 1 TAO to 0.5 TAO, resulting in a decrease in daily token emissions from 7,200 TAO to 3,600 TAO. This move created a stronger scarcity narrative for the asset. The institutional story around Bittensor is also gaining strength, with Grayscale filing for a spot TAO ETF and reports indicating that the trust already holds more than $13 million in assets.

The technical picture remains constructive despite some signs of short-term exhaustion. The daily RSI is at 68.86, which puts it close to overbought territory. Looking ahead, Patel sees several checkpoints along the way, including $1,100, $1,500, and eventually $3,000+ if the broader trend remains intact.