- Toncoin’s price is on the verge of breaking out of a bullish pattern, but recent price action has turned bearish.
- Toncoin’s price declined by nearly 3% in the last 24 hours, with most metrics and market indicators looking bearish.
- Market analysis reveals that Toncoin bears have dominated the market, pushing the token’s price down from a key resistance level.
Toncoin’s price is facing bearish trends, with a recent 3% decline and market indicators suggesting further downside potential.
Toncoin Bears Step Up
CoinMarketCap data reveals that Toncoin bears clearly controlled the market, as the token’s price dropped by nearly 3% in the last 24 hours. At the time of writing, TON was trading at $6.31 with a market capitalization of over $21.9 billion. While the token’s price turned bullish, it was consolidating in a bullish falling wedge pattern. World of Charts, a popular crypto analyst, posted a tweet highlighting this development as TON’s price was near the upper limit of the pattern. As per the tweet, a breakout from the pattern might kickstart a bull rally that would allow TON to surge by 25%. However, the current price trend suggests that TON might not manage to break above. Therefore, AMBCrypto analyzed Toncoin’s on-chain metrics to better understand which way the token was headed.
What to Expect from TON?
AMBCrypto’s analysis of Santiment’s data revealed that TON’s Exchange Inflow increased over the last week, indicating high selling pressure. The token’s Supply on Exchanges also dropped alongside its Velocity, further proving the fact that investors were selling TON. This meant that TON was used less often in transactions within a set timeframe. Another bearish metric was the MVRV ratio, which registered a decline over the last few days. AMBCrypto’s look at TON’s daily chart revealed quite a few bearish indicators. For example, the Money Flow Index (MFI) registered a sharp downtick. The Relative Strength Index (RSI) also followed a similar declining trend. These technical indicators suggested that the chances of the bearish price trend continuing further were high. If this turns out to be true, then investors might witness TON touching $5.9 in the coming days, as it has strong support there. A plummet under that could push the token’s value further down to $5.3–$5.
Conclusion
In conclusion, Toncoin’s recent price action and market indicators suggest a bearish trend in the near term. While there is potential for a bullish breakout, the current metrics indicate high selling pressure and declining investor confidence. Investors should closely monitor key support levels and be prepared for potential further declines. However, a trend reversal could see TON reaching new highs, making it crucial to stay updated with the latest market developments.
