Just days after securing judicial approval to leave France, Telegram founder Pavel Durov has officially returned to Dubai. His return marks a pivotal moment in his ongoing legal battle, as he had been detained in France since August under allegations of criminal activity related to Telegram. Durov, however, maintains that the platform has always exceeded legal obligations.
While his release signals a shift in the legal narrative, it has also had a significant impact on Toncoin (TON), the blockchain token associated with the Telegram ecosystem.
Toncoin’s Rally Slows After Initial Surge
Following news of Durov’s release, Toncoin saw a sharp rally, climbing from $2.59 to $3.66—a remarkable 40% gain in a matter of days. However, this bullish momentum has since cooled, with TON now trading at $3.41, down 1.25% in the last 24 hours.
Technical indicators suggest that buying pressure is weakening. The Relative Strength Index (RSI) has fallen from overbought levels to 53.31, hinting at a potential slowdown. Additionally, On-Balance Volume (OBV) remains negative at -835K, suggesting that the recent price surge may have lacked strong accumulation. As trading volumes taper off, TON risks slipping into a consolidation phase or a short-term pullback unless broader market participation picks up.
Profitability Metrics Show Strength
Despite the price correction, Toncoin’s fundamentals remain strong. According to IntoTheBlock data, 73.82% of TON holders are currently “in the money,” meaning they purchased below the current price. Only 12.25% of addresses are “out of the money,” indicating minimal overhead resistance.
Meanwhile, Toncoin’s Network Value to Transactions (NVT) ratio initially dipped before the rally, signaling that the token was undervalued. As prices surged between March 13-15, transaction volumes spiked, reinforcing bullish sentiment.
Can TON Sustain Its Uptrend?
On-chain data suggests that TON’s rally still has room to grow. DeFiLlama reports that Total Value Locked (TVL) in the Toncoin ecosystem surged from $140M to nearly $170M between March 15-17, indicating renewed investor confidence. Additionally, Santiment data shows increased whale transactions and sustained high social volume, both strong indicators of speculative momentum.
Also Read: Toncoin (TON) Shifts Towards Stability as Staking Surges Amid TVL Decline
While short-term pullbacks are possible, the underlying fundamentals suggest that Toncoin’s uptrend could persist—provided that transaction volumes and investor sentiment remain strong.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
