Toncoin’s Transition to Long-Term HODLing – Impact on Investors
Could Toncoin enthusiasts be gearing up for a takeover? Recent data from blockchain transactions indicates a possible shift towards long-term HODLing, moving away from short-term swing trading strategies.
An analysis of Toncoin holdings based on duration reveals a notable increase in the amount held by HODLers, rising from 1.89 billion TON to 3.21 billion TON by the end of September. This surge amounts to approximately 1.32 billion coins, valued at $6.8 billion at the current moment.
In contrast, balances held by cruisers (swing traders) decreased from 2.36 billion TON to 1.03 billion TON during the same period, reflecting a reduction of about 1.33 billion coins, equivalent to around $6.94 billion. So, what implications does this shift hold for Toncoin?
The outflows from cruiser wallets slightly surpassed those from HODLer accounts, potentially contributing to the selling pressure observed since early October. Nonetheless, it also highlights a crucial point – HODLers now control more than three times the holdings of swing traders.
This shift signals a growing preference for a long-term strategy. The diminished presence of swing trader balances may lessen their impact on short-term price fluctuations.
Toncoin’s Accumulation Trend Reflected in Address Activity
The daily activity within Toncoin addresses supports the trend towards long-term holding. For instance, the count of active addresses dwindled from 5.16 million on 27 September to 1.01 million.
Significantly, zero-balance addresses decreased from over 392,000 on 28 September to just above 35,000 by 10 October.
This decline in zero-balance addresses indicates an uptick in accumulation activities. Furthermore, new addresses dropped from 2.58 million at the end of September to 265,000 on 10 October, indicating a lack of fresh demand that could potentially impact Toncoin.
On a different note, Toncoin recently publicized that it has surpassed 100 million holders.
While these developments suggest a positive outlook, Toncoin’s recent price performance has been bearish over the past two weeks, experiencing a 15% decline from its September peak. Despite this setback, Toncoin’s current price still maintains a 16% premium compared to its lowest point in September.
In conclusion, Toncoin appears to be setting the stage for a significant recovery based on recent blockchain data. Nonetheless, its price behavior signals a requirement for increased trading volumes to trigger its next substantial bullish rally.