The cryptocurrency market has been experiencing a period of price weakness this week, with major tokens struggling to maintain support levels. This suggests a potential cool-off phase, but for Toncoin (TON) investors, it might be a chance to accumulate before the next upswing.
While the overall sentiment leans bearish, TON has shown resilience. Despite a 4.57% correction in the last week and 3.53% over the past month, the past 24 hours saw a bullish jump of 3.85%. This price surge hints at a potential trend reversal in the coming days.
Toncoin has been trading within a narrow range of $6.220 and $7.400, defying the broader market decline. This sideways movement, coupled with the recent price increase, suggests TON is poised for a breakout. However, the outcome remains uncertain – will it breach the resistance level or fall back?
Currently priced at $7.126, with a circulating supply of over 2.4 billion tokens and a market cap exceeding $17 billion, Toncoin remains firmly within the top 10 cryptocurrencies by market value.
Technical indicators paint a mixed picture. The Simple Moving Average (SMA) indicates a bearish crossover, suggesting a potential price decline for Toncoin. Similarly, the Moving Average Convergence Divergence (MACD) shows a weakening bullish influence with a declining green histogram.
However, there’s still hope for the bulls. If Toncoin surpasses the $7.40 resistance level, a retest of its all-time high (ATH) could be on the horizon by next week. Sustaining that level could pave the way for a further climb towards $8.60.
Also Read: Toncoin (TON) Takes Off! New All-Time High & Bullish Pattern Hint at $11.80 Target
On the downside, if the bears overpower the bulls, TON could slip back to its support level of $6.220. A prolonged lack of bullish momentum might even trigger a plunge towards a crucial support level of $5.155 this month.
Only time will tell which direction Toncoin takes. But its recent price action, amidst the bearish market sentiment, suggests an interesting development for this Layer-1 token. Investors should closely monitor the price movement in the coming days, especially if it breaks above the resistance level, as it could signal a significant shift in the trend.
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.
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