Tailspot squirrelfish, also known as the bluestripe squirrelfish, belongs to the family Holocentridae, which includes over 100 species of reef fish commonly found in the Indo-Pacific and Caribbean regions. The tailspot squirrelfish is typically found in shallow coral reefs, lagoons, and rocky areas with crevices for shelter. They are nocturnal feeders and spend their days hiding in crevices or caves, emerging at night to hunt for small fish, crustaceans, and other invertebrates.

The tailspot squirrelfish is a medium-sized fish, growing up to 20 cm (8 inches) in length. They have an oval-shaped body with a narrow, elongated snout and a large mouth. Their fins are relatively large, with the dorsal fin running the length of the body and the anal fin extending from the ventral side of the fish. The tailspot squirrelfish has a distinctive coloration, with a reddish-orange body and several vertical blue stripes along its sides. A prominent black spot at the base of the tail fin gives the fish its common name.

The tailspot squirrelfish is a solitary and territorial fish, defending its territory and hiding spot from other fish. They are relatively peaceful towards other fish of similar size and temperament but can become aggressive towards smaller fish or those that intrude on their territory. The species is known to spawn in pairs, with males courting females through a series of movements and flashing of colors.

Tailspot squirrelfish are not commonly kept in aquariums but can be kept in larger reef aquariums with appropriate hiding spots and a sandy substrate. They require a varied diet of meaty foods such as shrimp, squid, and small fish. They are not suitable for small, peaceful community tanks as they may become aggressive towards smaller fish. The tailspot squirrelfish is primarily appreciated by aquarists for its striking coloration, which adds a splash of color to a reef aquarium.

In summary, the tailspot squirrelfish is a colorful and interesting species of reef fish that is known for its striking blue stripes and tailspot. Its nocturnal behavior, territorial nature, and moderate size make it a fascinating addition to larger reef aquariums. While it is not commonly kept in aquariums, it is still an appreciated and sought-after species for its beauty and unique characteristics.