Toncoin (TON) has experienced large price swings recently, attracting interest from both traders and analysts. At the $8.30 mark, Toncoin was denied twice, leading to a rollback to the support level of $6.75. A pullback like this could be interesting for swing traders looking at an upward bounce back to $8.30 with 20% potential returns; however, it comes with increased risks. In case of such an opportunity, swing traders may put a stop loss at $6.46.
During the dip TON’s market capitalization depreciated by 1.88% to $16,749,975,817 while its twenty-four trading volume rose by 9% to reach $173,451,575, signifying increased interest in the trade volumes as some traders bought the dip.
Currently, on a short-term basis, TON trends down, whereas medium-term trend is neutral but long-term trend continues strongly up, which shows that momentum remains positive for this token.
Furthermore, derivatives data for Toncoin reveal mixed signals despite heightened trading activity. Higher trading activities have seen volume increase by 3.51% ($120.96 million) but open interest has decreased by 2.08% ($247.84 million), suggesting that some investors are closing positions instead of opening new ones.
Since last weekend’s analysis of Toncoin’s price showed sluggish motions above the threshold of $6.50 correspondingly, it coincides with a lower trendline of triangle pattern shaping critical area where purchasers aim attention on; nevertheless there exists the danger that open interests decline, and wider market supply forces give rise to a collapse below support level indicating significant reversal phases as well.
The recent price bounce has led to a spike in the ratio of daily on-chain transactions in profit to loss, the highest since July 19. This metric indicates whether token holders are realizing losses or profits. The rise in profit-taking could halt TON’s uptrend, especially if selling pressure intensifies.
In addition to that whales- entities or individuals holding large amounts of cryptocurrency might also be important drivers behind possible fall in value for Toncoin According to IntoTheBlock data TON Large Holders’ Netflow over these last seven days had declined by 69.05% and by 77% across the last month. This drastic drop contrasts with prior weeks’ large inflows, suggesting that whales have been selling instead of buying.
Toncoin’s recent gains may be erased if this continues. Additionally, the behavior of these big stakeholders has a significant impact on market dynamics, and their demands could intensify the current bearish trend.
On daily chart, technical indicators reject the Toncoin price increase. For instance, AO, which is an Awesome Oscillator measuring market momentum is negative meaning that upward momentum has been declining. Likewise, MACD (Moving Average Convergence Divergence) remains in red territory as it points out to continued downward movement in the future. If it keeps going like this TON's price may fall either at $6.57 or even $6.02 if sell pressure increases.
Toncoin shows a short-term bullish correction on the 4-hour chart after dipping below the 100-day Simple Moving Average (SMA). Consequenlty, TON keep trading below 100-day SMA implying a possible slide to a support level of six dollars due to the existing downtrend pattern.
However, Toncoin is trying to break the 100-day SMA on the one-day chart and is already forming a single bullish candlestick after breaking down. A successful attempt might prevent it from declining further to the $6 support level in the near future. On the other hand, on the daily one-day chart, the RSI has crossed below 50% and is heading toward oversold territory, signaling that the bearish momentum could be increasing.