17% Rally Projected After Breakout

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Toncoin (TON) price is looking at a potential increase in the short-term timeframe owing to changing winds. 

Investors are moving to bolster a potential rise in TON’s value that would enable it to recover recent losses.

Toncoin is Turning Bullish Again

Toncoin’s price will likely witness a resurgence based on the actions of its investors. Following weeks of decline, it appears that TON holders are preparing for a potential rise in price evinced by their HODLing behavior.

Mean coin age measures the average age of all coins circulating within a cryptocurrency network, providing insights into hodling patterns and potential market activity. An incline in this metric suggests investors are leaning towards HODLing. 

A decline, on the other hand, means that investors are moving their holdings around addresses. This is a sign that conviction is low, which has been true with TON for the last couple of days. But the metric is noting an incline now, which means that Toncoin’s price could benefit from the bullishness.

Toncoin Mean Coin Age. Source: Santiment

Read More: What Are Telegram Bot Coins?

Further substantiating this probability is the price differential between daily average addresses (DAA). This indicator compares the daily average number of addresses transacting with a cryptocurrency against its price movement, revealing potential discrepancies between network activity and market valuation. 

Toncoin Price DAA Divergence.
Toncoin Price DAA Divergence. Source: Santiment

At the moment, price DAA divergence is flashing a buy signal, given the increase in price and the increase in participation. Should investors move to accumulate TON, Toncoin’s price could soon mark a rise on the charts.

TON Price Prediction: A Rally Awaits?

Toncoin’s price, trading at $5.9 when writing, has been moving downwards, wedged in a descending channel for the last few days. Looking at the changing stance of investors, it seems like TON could be escaping this channel.

A potential breakout above the upper trend line would signal a potential 17.77% rally for TON. This would mean the altcoin needs to breach the $7.0 resistance line, which could send it toward the target of $7.8.

TON/USDT 4-hour chart.
TON/USDT 4-hour chart. Source: TradingView

Read More: Which Are the Best Altcoins To Invest in April 2024?

But if, before the rise, Toncoin’s price fails to breach the barrier at $5.9, TON could fall back down to the support at $5.4. Losing this line could invalidate the bullish thesis, extending the decline to $5.2.

Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.



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