TAO (Bittensor) fluctuated 37.1% in 24 hours: CovenantAI exit triggered a plunge from a high of $341.2 to a low of $248.8

Brief Overview of Volatility

In the past 24 hours, the price of TAO reached a high of $341.2 and a low of $248.8. The current price is $266.6, with an overall fluctuation amplitude of 37.1%. The 24-hour trading volume is approximately $1.489 billion, indicating high activity.

Brief Analysis of the Causes of the Price Movement

- Covenant AI exits the Bittensor network (April 10, 2026): Subnet 3 high-performance developer Covenant AI announced its departure, accusing founder Jacob Steeves of unilateral control (such as suspending subnet emissions and imposing economic pressure), which directly caused the TAO price to fall from about $337 to $284, resulting in a cumulative decline of over 11%-20% within 24 hours. This was the core driver of the volatile movement this time.

- Founder's plans and governance adjustment: The Bittensor founder publicly stated plans to train a trillion-parameter model on-chain and transition subnet governance to community ownership (alpha holders vote to select teams), aiming to alleviate centralization concerns. However, this failed to offset the impact of the exit event.

Market Views and Outlook

Market sentiment has turned negative, with mainstream community opinions regarding Covenant AI’s exit as a “decentralization theater” farce, and the founder being criticized for “one-man rule.” Over $1 billion in market cap evaporated in the short term, and analysts warn that increased governance risk may lead to further support breakdowns. Some believe that the transition to community governance could provide long-term repair, but subnet activity needs to be monitored.