Toncoin’s recent rise may be attributed to several factors. First on that list is the overall market sentiment, which has suddenly shifted to the bullish side.
Toncoin (TON) has defied expectations with a recent price surge that saw it hit a new all-time high (ATH) of $7.78. For the better part of the last three months, the coin has posted little to non-visible recoveries. However, investors may now begin to wonder if this latest surge was just a temporary spike or the start of a prolonged bull run.
Why Toncoin (TON) Is Rising
Toncoin’s recent rise may be attributed to several factors. First on that list is the overall market sentiment, which has suddenly shifted to the bullish side. Without a doubt, the crypto market is generally on an uptrend at the moment.
Secondly, Toncoin itself has seen a great surge in investor interest. By warming its way to the heart of investors, it found itself flipping Shiba Inu to make the list of top ten cryptocurrencies by market capitalization. As expected, this surge in demand has driven prices upwards. For context, TON price has tripled since the start of the year, going from $2.2 to $7.78 in just six months.
Meanwhile, the most interesting aspect of the surge may be linked to the dramatic increase in whale activity. According to crypto analyst Ali, large transactions exceeding $100,000 jumped a staggering 237% on June 3. This significant buying pressure from whales is expected to boost investor confidence even more and fuel further rally.
The number of large #Toncoin transactions (over $100,000) has surged by 237.5% in the past 24 hours!
This significant increase in $TON whale activity suggests a strategic shift in their investments and positions. pic.twitter.com/iEHWFgxcp1
— Ali (@ali_charts) June 3, 2024
Adding more momentum to the rally is the recent launch of Notcoin, a meme coin built on the Ton network. Notcoin’s impressive early gains of over 350% have further added to the buzz surrounding Toncoin in general.
Expectations: A Bullish Outlook, with Caution
As of publication, Toncoin has slightly retraced its steps, pulling back from its all-time high. However, the overall sentiment remains bullish. Technical indicators like simple and exponential moving averages paint a picture of a strong buy zone, suggesting the potential for further price increases. The MACD (Moving Average Convergence Divergence) and momentum indicators also show the same bullish signals.
Despite these positive signs, however, a note of caution might be necessary. The Relative Strength Index (RSI) currently sits around 68, which is very close to the overbought territory. If the RSI goes over 70, a price correction could occur, and that would eventually push Toncoin down.
next