After a recent substantial price drop of over 35%, Toncoin (TON) is showing potential for a significant upside rally. This optimistic outlook stems from the recent breakout of a consolidation zone near a crucial support level and a descending trendline in the four-hour time frame.
Toncoin Price Momentum
On September 9, 2024, Toncoin (TON) experienced a remarkable price surge of over 10% within 24 hours, currently trading around the $5.11 level. The trading volume for TON has also seen a massive increase of 103% during the same period, indicating heightened participation from traders amid the ongoing price recovery.
This notable price surge has triggered breakouts of essential price action patterns, including a five-day consolidation zone near the $4.5 level and a descending trendline breakout in the four-hour time frame.
Toncoin Technical Analysis and Upcoming Levels
According to expert technical analysis, Toncoin (TON) appears exceptionally bullish. The recent breakout of the trendline has resulted in the successful closure of a four-hour candle above a strong resistance level.
Based on historical price momentum, there is a high possibility that the TON price could rise by 15%, potentially reaching the $6 level soon.
Bullish On-chain Metrics
In addition to technical analysis, on-chain metrics also reflect a bullish outlook for Toncoin. Coinglass’s TON Long/Short ratio indicates bullish market sentiment, with its value currently standing near 1.082 (a ratio above 1 is considered bullish). Furthermore, TON’s future open interest has increased by 9% in the last 24 hours and continues to rise, signaling an ideal buying opportunity.
However, traders often combine long/short ratios and open interest to build their positions. Currently, 51.83% of top traders hold long positions in TON, while 48.17% hold short positions. The major liquidation levels are near $4.8 on the lower side and $5.17 on the upper side, highlighting over-leveraged positions at these levels, according to Coinglass data.
