Bittensor (TAO), the largest AI token by market cap, has experienced a significant 39% decline amid recent volatility in the AI sector. This downturn follows a period of strong gains earlier in April, where the AI market cap surged from $16.24 billion to $19.12 billion, marking a 17.7% increase. However, the sector has since faced a slump, impacting TAO and other AI tokens. On the technical front, Bittensor has been trading within a range of $163 to $493 since early 2025, with recent price action indicating a retracement phase. Despite the recent losses, the 1-day chart suggests a bullish structure, with support levels identified at $233 and $194. Traders are advised to watch for a potential resurgence from these levels, although a drop below $143 could invalidate the bullish outlook.