Why Toncoin has not joined Bitcoin, Ethereum, in the latest crypto rally

• Toncoin was underperforming, trading at $6.2 at press time.
• TON’s market cap was $22 billion, ranking in the top 10 despite recent price drops.

Toncoin [TON], the native cryptocurrency of the Toncoin network, is stubbornly sitting out the current crypto rally.

While most major altcoins have surged thanks to Bitcoin’s [BTC] recovery above $70K and the Ethereum [ETH] spot ETF hype, TON has fallen by 5.8%, now trading at a disappointing $6.2. What gives?

TON is struggling, but it’s not all bad

Notably, TON has been struggling to join the crypto rally. Despite its weak performance, it boasts a solid $22 billion market cap, placing it in the top 10 cryptocurrencies. 

So, while the price action might be sluggish, it’s still holding a significant place in the crypto ecosystem.

Santiment has pointed out TON’s impressive growth in the past six months. Specifically, the number of non-empty wallets holding TON has shot up by 110%, reaching 16,800.

This suggested that there was still a lot of interest and belief in Toncoin’s potential.

TON’s yearly gains are still among the highest in the market, registering over 220%.

Moreover, data from DeFiLlama shows that the altcoin’s Total Value Locked (TVL) has surged to over $289 million, showcasing the widespread adoption and prominence of The Open Network’s dApps.

Technical analysis

TON/USDt 5-day trading chart displayed a volatile trading pattern, with the price experiencing several significant fluctuations.

Toncoin reached a high near $6.75 and a low around $6.20, indicating a trading range of $0.55 over the past five days.

After reaching its peak, Toncoin experienced a sharp decline, thanks to a strong sell-off or profit-taking near the highs.

The price stabilized somewhat after reaching lows, suggesting some level of support around the $6.20 mark.

TON’s trading volume has been relatively consistent, with spikes correlating closely with significant price movements. This means that there is active trading during periods of high volatility.

Over the five days, the most consistent support level appeared at around $6.20, and the price bounced back multiple times due to the bears staying largely in control.

Is your portfolio green? Check out the TON Profit Calculator

Due to the strong bearish pattern, it has witnessed, TON will likely fail to hold on to the $6.2 support level, thereby plunging below $6 or even $5.5. But if it holds on, a modest rise to $6.5 might be on the horizon.

So, TON still has a chance to join the rally.