Key Points:
- Toncoin (TON) has seen a significant price increase, rising nearly 9% in 24 hours against a broader crypto market decline.
- Technical analysis suggests TON could potentially reach $9.50-$10 by September, a 40% increase from current levels.
- The price rise is supported by fundamental developments like the launch of TON Ventures and integration with Injective protocol.
- Data shows 83% of TON supply is currently in profit, with 4.8 billion TON tokens held by profitable addresses.
- Despite the bullish outlook, there are signs of potential selling pressure, with active deposits to exchanges increasing.
Toncoin (TON), the native cryptocurrency of the TON blockchain, has emerged as a top performer in the crypto market, surging nearly 9% in the last 24 hours against a broader market decline of 3%.
This performance has caught the attention of traders and analysts, with many pointing to both technical and fundamental factors driving the upward momentum.
Technical analysis suggests that TON’s recent price action follows a classic Bump-and-Run Reversal (BARR) pattern, which typically signals a bullish trend. The cryptocurrency has entered the “run phase” of this pattern, breaking above a key declining trendline.
This breakout, supported by increased trading volume, has led some analysts to project a potential price target of $9.50 by September, representing a 40% increase from current levels.
Further bolstering the bullish case is the formation of an inverse head-and-shoulders pattern on TON’s price chart. This pattern, often considered a bullish reversal setup, points to a possible upside target around $10. The convergence of these technical indicators has fueled optimism among TON traders.
Beyond the charts, Toncoin’s recent rally has been underpinned by significant fundamental developments. On August 14, the TON Foundation launched TON Ventures, a $40 million fund aimed at supporting early-stage projects building on the TON blockchain. This initiative is expected to attract new developers and projects to the network, potentially driving increased adoption and usage.
Decentralized finance protocol Injective announced its integration with the TON blockchain on the same day. This partnership allows TON-based assets to be bridged and utilized across Injective’s ecosystem, expanding the utility and reach of TON tokens.
These developments have contributed to a positive sentiment among TON holders. Data from IntoTheBlock reveals that 83% of the TON supply is currently in profit, with 4.8 billion TON tokens held by profitable addresses. This high proportion of profitable holders could provide support for the current price levels and potentially fuel further upside.
Some analysts have noted an increase in active deposits to exchanges, which typically signals that investors may be preparing to sell their holdings. This potential selling pressure could dampen the bullish momentum if it materializes in significant volume.
The Global In/Out of the Money indicator shows that between $6.12 and $6.77, investors purchased about 793 million TON, worth over $5.2 billion. With the current price at $6.59, this large block of tokens is teetering between profit and loss, which could lead to increased volatility as these holders react to price movements.
Looking ahead, many traders are eyeing the $7 level as a crucial resistance point. A breakthrough above this level could potentially open the path to further gains, with some optimistic projections targeting the all-time high of $8.28 and beyond. Conversely, a failure to hold above the $6.43 support could lead to a retest of lower levels around $6.04.
