Toncoin serves as the native token of the TON ecosystem and has many uses. The token is similar to other native tokens such as Solana (SOL) i Ether (ETH) has been performing well as it has seen significant price growth, especially with its launch Niecoin (Recently not.
Based on TON’s previous price movements, the token has successfully formed a Double-Top chart pattern, which is usually followed by a price decline. With a 10% decline in trading volume from the previous day to $152 million, the TON price indicates a downward trend.
Over the past 24 hours, TON has declined by approximately -0.39%, with a market capitalization of approximately $15.52 billion and the price has been trading at approximately $6.44. TON is currently trading above the 1-day Simple Moving Average (SMA), but is trading below the range on the 4-hour horizon.
Technical indicators point to a continued downtrend for TON
On a 4-hour time horizon, TON is trading below the 100-day uncomplicated moving average, which is a clear sign that it may be exposed to a bearish move.
The 4-hour moving average convergence divergence (MACD) also signals that the TON may be moving lower as the MACD histograms are already trending below the MACD zero line. Furthermore, both the MACD signal line and the MACD line have crossed and are heading towards the MACD zero line, where there is a possibility of moving below it.
On the 1-day horizon, you can also see that the TON price is showing signs of decline as it tries to get closer to the 100-day SMA.
Given that MACD histograms are trending below the MACD zero line, a 1-day moving average divergence suggests a possible upcoming downtrend. Both the MACD line and the MACD signal line have crossed and are moving towards the zero line as seen on the 4-hour time frame.
Key points to determine your next move
From TON’s previous price action, you can see that it has managed to create some highs and lows, which are key points when determining your next destination.
There is currently one major resistance level at $7.677 and two major support levels at $4.688 and $3.34. If TON price continues to fall and breaks below the $4.688 support level, it could move even further to test the $3.34 support level.
However, if it fails to break below the $4,688 level, it will continue its uptrend towards the $7,677 resistance level. If the price breaks above this resistance level, it can move even further, creating a novel high.
Featured image from Pinterest, chart from Tradingview.com
