Toncoin (TON), the cryptocurrency linked to Telegram’s blockchain project, is showing signs of a potential price surge. TON has been fluctuating recently. However, traders remain on the lookout for a breakout that can send the price of TON much higher in the near term.
Toncoin & Price Action
TON recently dipped below $3, pushing near $2.80 support after dropping from recent highs during the month. Despite this, technical charts show bullish signs like the symmetrical triangle. Breaking this triangle could potentially lead to a 50% gain. However, resistance lies at $3.2. There could be a break above $3.20, pushing TON towards $5.00, reflecting renewed buying pressure.
Investors are closely monitoring whether it holds above $2.80 to prevent a drop. A healthy trading volume of around $185 million is observed, showing solid market action. Such setup indicates the potential for an upturn if TON is able to break through the resistance soon.
Toncoin’s network is growing rapidly with updates boosting confidence. Max Crown was appointed CEO and the TON Foundation introduced the $500 million Telegram Bond Fund, tokenizing corporate bonds on the TON blockchain. Active wallets remain stable at 170K–190K, adding 10,000 new wallets each day.
Ethena’s $6 billion USDe stablecoin is launching on the Telegram network. The U.S. launch for TON Space comes with the support of Apple’s crypto payments approval and MoonPay enablement for Toncoin purchase. Additional trust comes through tighter rules for MiniApps from Telegram.
Technical Signals and Risks Shaping Toncoin’s Outlook
In addition to institutional action, technical indicators alike favor Toncoin’s upside possibility. Of the oscillators, seven, including the RSI, reveal neutral emotion. Two indicate buy, while the sole indicator suggesting selling is the MACD.
For moving averages, 11 indicate buying, two indicate selling, and two are neutral. That indicates an overwhelming buy signal in total. When oscillators and moving averages are combined, most technical indicators favor buying Toncoin currently.
Toncoin is exposed to threats despite the positive sentiment. Toncoin Bridge expired on May 10, restricting the transfer between Ethereum and BNB blocks. Less-tested newer bridges may deter adoption. Previous SEC actions remain as regulatory threats. International crypto regulation and competition in the market are challenges to the growth of TON in the future.
Overall, positive sentiment appears to outweigh the negatives. While risks exist, Toncoin’s ongoing innovations support its potential for higher prices. Combined with strong technical indicators and bullish chart patterns, this sets the stage for a possible price rally soon.
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