Whales Seize the Opportunity to Buy Toncoin During Price Dip

Toncoin (TON), which is closely associated with Telegram, has continued to experience significant sell-offs even a week after the arrest of Pavel Durov, the CEO of the messaging platform.

Azcnews Whales Seize The Opportunity To Buy Toncoin During Price Dip

A crypto analyst has identified a bearish head and shoulders pattern, indicating that this altcoin could face further depreciation.

However, despite these challenges, TON holders remain undeterred, continuing to “buy the dip” and accumulate more tokens amid recent difficulties.

Toncoin bulls must defend the support level to prevent further price declines. In a recent post on X, crypto analyst and trader AlienOvichO shared technical analysis highlighting the formation of a head and shoulders pattern on TON’s daily chart.

Toncoin Price Analysis
Toncoin Price Analysis

The head and shoulders pattern is a crucial indicator of a potential trend reversal, consisting of three peaks: a shoulder, a head, and another shoulder, with the neckline acting as the support level. According to AlienOvichO, if TON breaks below this neckline, which is currently forming a support at $4.78, its value could continue to drop.

Although initiating a clear uptrend may prove challenging, the analyst noted that TON buyers must strive to maintain a sideways trend if they wish to prevent the bearish outcome.

AlienOvichO stated, “TON bulls need to take action to prevent this bearish structure from materializing, so the best way to avoid it is through a sideways movement in the coming weeks before making a strong push.”

Interestingly, TON whales have viewed the recent price decline as a buying opportunity. According to Santiment data, these large holders have increased their TON holdings since Durov’s arrest. The group of whales holding between 1 million and 10 million TON tokens now controls 9.07% of the altcoin’s total circulating supply.

Toncoin Supply Distribution
Toncoin Supply Distribution

However, since Durov’s arrest, smaller wallets, particularly those holding between 10,000 and 1 million TON, have reduced their holdings. This shift suggests that while larger investors are accumulating, smaller holders may be losing confidence amid the ongoing uncertainty surrounding Toncoin.

TON Price Prediction: Token Heading Toward $3.76

TON’s technical indicators align with AlienOvichO’s bearish outlook. The Chaikin Money Flow (CMF) is below zero at -0.10, indicating capital outflow and increasing selling pressure.

Additionally, the Parabolic Stop and Reverse (SAR) indicator for TON is showing dots above its price. The Parabolic SAR measures an asset’s trend direction and identifies potential reversal points. When its dots are positioned above the price, the market is in a downtrend, suggesting that the price could continue to decline.

Toncoin Chart
Toncoin Chart

If TON breaks below the $4.78 support level, its next price target is $4.73. Should buyers fail to defend this level, TON’s price could drop to $3.76, the lowest level it reached in March.

However, if the market trend shifts from bearish to bullish and whale accumulation triggers widespread demand for TON, its price could rise to $5.49.

5.0/5

(1 vote)

Latest

Guide To Participating In The Bitcoin Button On Binance For A Chance To Win 1 Btc

News | Airdrops | Editor Choice

Guide to Participating in the Bitcoin Button on Binance for a Chance to Win 1 BTC

Join the Bitcoin Button Event on Binance for a Chance to Receive a 1 BTC Airdrop.

1stake Usdt, Ton, Mnt To Receive 1 Million Major On Bybit

Airdrops | Editor Choice | Policy & Regulations

Stake USDT, TON, MNT to Receive 1 Million MAJOR on Bybit

Bybit has announced the listing of Major on Launchpool, along with a staking program for USDT, MNT, and TON, offering participants a chance to share rewards of up to 1 million MAJOR.

Azcnews Upbit Exchange Refunds $6 Million To Users

News | Editor Choice | Policy & Regulations

Upbit Exchange Refunds $6 Million to Users

Upbit returns 8.5 billion won to 380 victims of phone scams. Meanwhile, authorities reveal North Korea's role in previous cyberattacks.

Azcnews Xrp Poised To Surge To $1.96 Amid Positive Signals

News | Altcoin | Analytics | Editor Choice | Video

XRP Poised to Surge to $1.96 Amid Positive Signals

XRP has increased by 30% in just 2 days with positive news from Gary Gensler's resignation, causing excitement among investors. XRP price may increase sharply in the near future, reaching the $1.96 mark.

Dwf Labs Establishes $20 Million Investment Fund For Memecoins

News | Editor Choice | Memecoin

DWF Labs Establishes $20 Million Investment Fund for Memecoins

Controversial Investment Fund DWF Labs Announces $20 Million Fund for Memecoin Sector.