Toncoin Faces Risk of Sharp Price Correction

Toncoin’s price has remained stable between $5.96 and $5.37, with little impact from the broader market. Despite the potential for a breakout from this range, technical indicators point to the opposite.

Azcnews Toncoin Faces Risk Of Sharp Price Correction

With Toncoin still fluctuating within this range, the likelihood of a correction is high. Despite the recent slight increase in price, a deeper analysis of technical indicators paints a different picture.

Toncoin is at Risk of a Price Drop

Toncoin’s long-term (LTH) investors have shown strong confidence by holding onto the asset without many transactions over the past month. This is further reinforced by the increase in Mean Coin Age (MCA), a measure of how long a coin has been in the same wallet. An increase in MCA typically indicates greater confidence from investors, as they decide not to sell despite market volatility.

Toncoin Mca
Toncoin Mca

However, Toncoin’s history shows that the rise in Mean Coin Age (MCA) has often preceded price declines. The lack of activity among long-term investors could be a sign of weakening market momentum, a familiar signal for price corrections. If this trend continues, the likelihood of a repeat of previous price declines is high, making Toncoin vulnerable to a correction in the near term.

In terms of the macro landscape, technical indicators are warning of a potential downturn for Toncoin. The Moving Average Convergence Divergence (MACD) indicator is approaching a double top divergence, which is often a sign of an impending reversal. This pattern, combined with the price making higher highs, suggests that the upward momentum may be slowing down.

A test of the $5.96 resistance level will be crucial to confirm this double top pattern. If Toncoin fails to break above this level, the bearish trend will be further reinforced. The divergence between the price action and the MACD indicator further increases the possibility of a correction in the coming days, with the risk of a sharp decline increasing.

TON Price Prediction: Watch the Volatility Pattern

Toncoin Chart
Toncoin Chart

Toncoin is currently trading around $5.80, close to the $5.96 resistance. Although there is a possibility of testing this resistance, the possibility of a breakthrough is not considered high based on current technical factors. If the price is rejected at this level, Toncoin could fall back to the $5.37 support zone.

Although the signal indicates a correction, Toncoin could hold above $5.37 if the bearish pressure does not become too strong. However, if the selling pressure increases, the price could fall further to $4.86. The market is watching Toncoin’s every move as it approaches these important levels.

Conversely, if the positive sentiment surrounding the start of Q4 increases, Toncoin could break out of its current consolidation range. If the resistance level of $5.96 is overcome, the price could rise to $6.36, thereby invalidating the bearish scenario. In this case, an uptrend could emerge, opening up new opportunities for investors.

0.0/5

Love

Latest

Binance Announces Listing Of Usual On Launchpool And Pre Market

News | Altcoin | Editor Choice

Binance Announces Listing of USUAL on Launchpool and Pre-market

Binance has announced the listing of Usual as its 61st launchpool project. This is also the second project to be listed on Binance Pre-Market, following Scroll.

Blackrock Expands Rwa Market Share To Aptos, Arbitrum, Avalanche, Optimism, And Polygon

News | Editor Choice

BlackRock Expands RWA Market Share to Aptos, Arbitrum, Avalanche, Optimism, and Polygon

BlackRock USD Institutional Digital Liquidity (BUIDL) continues to expand its market share by entering four additional networks: Aptos, Arbitrum, Avalanche, Optimism, and Polygon.

Azcnews Act Memecoin On Solana Surges Nearly 3000% In A Short Period

News | Altcoin | Editor Choice | Memecoin

ACT Memecoin on Solana Surges Nearly 3000% in a Short Period

Memecoin Act I The AI ​​​​Prophecy has seen a huge price surge of nearly 3000% in the past 7 days, bringing huge profits to investors who believe in this coin.

Azcnews Bitcoin Price Drops After Reaching Ath As Investors Take Profits

News | Bitcoin | Editor Choice

Bitcoin Price Drops After Reaching ATH as Investors Take Profits

Bitcoin rose to a high of $93,000 before correcting to its current price. The decline may have been caused by investors taking profits.

Azcnews Meme Coin Pnut Surges 800% After Binance Listing

News | Altcoin | Editor Choice | Memecoin

Meme Coin PNUT Surges 800% After Binance Listing

A new meme coin called Peanut the Squirrel (PNUT) has seen an impressive growth of over 800% in just a few days after being listed on Binance.