While Bitcoin [BTC] and most other alternative digital currencies have shown modest gains on a monthly basis, Toncoin [TON] has taken a different direction. Toncoin has seen a significant decrease in value over the last month.
Presently, the trading price of Toncoin stands at $5.11, reflecting a 2.19% decline over the last 24 hours. On a monthly scale, TON has experienced a decrease of 1.91%, with the bearish trend extending to 3.75% over the past week.
The current market situation has raised concerns among analysts about the future path of TON. Notable cryptocurrency analyst Dark Knight has emphasized the necessity for TON to witness a robust recovery to regain a positive momentum.
Market Sentiment and Analysis
In his evaluation, Dark Knight has suggested that TON appears to be trading within a range of $5.1 to $5.9. Despite the recent upsurge in Bitcoin prices, which typically triggers a rise in alternative cryptocurrencies, TON has failed to capitalize on this development.
Furthermore, TON has struggled to surpass significant resistance levels. Nonetheless, the analyst remains optimistic about the long-term outlook for TON, particularly due to the increasing adoption of the Toncoin blockchain.
Consequently, TON seems to be encountering a short-term bearish trend. Should the price dip below the crucial support level, the next significant support is anticipated at $4.4.
A strong rebound is imperative for any bullish sentiment to materialize within the Toncoin market.
Insights from Toncoin’s Market Charts
While the analysis provided by Dark Knight suggests a gloomy forecast, it is vital to examine other foundational aspects of Toncoin.
Firstly, there has been a rise in Toncoin’s exchange supply over the previous week. Typically, an increase in exchange supply indicates that investors are moving their assets to platforms where they can readily sell them.
This could signify that investors foresee a potential price drop in Toncoin and are aiming to secure profits.
Moreover, the supply of Toncoin outside of exchanges has been diminishing over the past month, decreasing from $10.11 million to $9.9 million. This trend implies that investors are shifting away from long-term holding strategies and opting to liquidate their positions.
Lastly, there has been a decrease in the inflow of funds from large holders for Toncoin, dropping from 291.45k to 61.54k. This reduction indicates a lack of confidence among major investors regarding the future prospects of the altcoin.
In summary, TON appears to be amidst a robust downtrend, with bearish sentiments prevailing. Unless there is a significant market shift, Toncoin is likely to discover its next support level at around $4.60.
However, a market correction accompanied by a strong rebound could propel TON towards the $5.84 mark.