Gram [GRAM], previously Toncoin, has rallied 4.5% in 24 hours. It saw increased short-term bullish momentum after the transition from Toncoin to Gram was completed.
Binance announced its support for the Toncoin rebranding to Gram in mid-June. On the 3rd of July, the crypto exchange announced the launch of the GRAM spot trading tournament.
This boosted visibility and volume and also helped market sentiment. The gains to a local zenith of $1.84 had begun to retrace at the time of writing.
The longer-term price action suggested that the altcoin offered a buying opportunity that was separate from the boost in volume and visibility that came as part of Binance’s announcement.
The GRAM buying opportunity after a deep price correction
The 1-day price chart showed a deep price correction since May. Back then, the altcoin had reached a swing high of $2.90. Measured from this high, made on the 7th of May, GRAM retraced by 50.3% over 30 days to reach a low of $1.44.
The altcoin has spent the past month consolidating between the $1.50 and $1.81 levels. Strong buying pressure or upward momentum was not yet here on this timeframe.
The CMF was only at +0.04 and has not crossed over above the +0.05 threshold since late May. This indicated a lack of sustained buying pressure behind the altcoin.
Yet, its current consolidation was encouraging. It was in the golden pocket between the 61.8% and 78.6% Fibonacci retracement levels. As things stand, based on the swing structure, the token presented a buy signal.
Should GRAM traders buy now?
Though the technical indicators on this timeframe favored the bulls, the price action remained neutral. The $1.80 local supply zone has rejected bullish efforts for the second time since mid-June. The latest rejection was sharp, and it was possible that GRAM would be forced to retreat all the way to the $1.50 support zone.
Swing traders and investors can wait for a retest of this support to buy. Alternatively, a bullish breakout past the $1.80 supply zone and a subsequent retest would also offer a buying opportunity.
Final Summary
- The Toncoin-Gram rebrand was complete, and the Binance spot trading tournament for the token has helped boost short-term market sentiment.
- The GRAM correction from $2.9 to $1.4 in May and early June has not fully ended and resumed its bullish longer-term trend.