Analysis
Toncoin [TON]: Bull run hits a hurdle, but demand still exists
Posted:
| Last updated: September 25th, 2023
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Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
- Toncoin’s bullish run hit an obstacle at the $2.6 price zone.
- However, buyers continued to drive steady demand for TON.
Toncoin’s [TON] bullish run-up experienced a bearish pullback at the $2.6 price level. Nevertheless, TON continued to outperform the majority of altcoins after the announcement of the token’s integration into Telegram.
How much are 1,10,100 TONs worth today?
According to data from Coinmarketcap, TON’s 57% rise over the past week pushed it into the top 10 cryptocurrencies by market capitalization.
Will bulls find support at a key Fibonacci level?
Source: TON/USDT on Trading View
Plotting the Fibonacci tool on the 12-hour timeframe revealed key price levels to consider for an extension of TON’s bullish rally.
The 23.6% Fib level ($2.25) acted as a support level for TON on 17 September. Based on the rising Chaikin Money Flow (CMF), bulls can expect the 23.6% Fib level to hold again. A rising CMF typically signals more capital flowing into a token. Thus, if the 23.6% Fib level holds, buyers can target further gains at $2.6 to $2.95.
However, an extension of profit-taking initiatives could lead to a collapse of this support level. This could lead to buyers attempting to prop up the price at the next support level at $2 (38.2% Fib level).
Meanwhile, the Relative Strength Index (RSI) dipped out of the overbought zone. Still, it remained above the neutral 50 to highlight the strong buying pressure.
Steady demand still present for TON in the futures market
Source: Coinalyze
Despite the price dip, TON enjoyed consistent appeal in the derivatives market. Data from Coinalyze showed that the Open Interest (OI) dipped slightly but still maintained its uptrend.
Is your portfolio green? Check out the TON Profit Calculator
Similarly, the Spot CVD remained bullish after its strong climb. Taken together, this reiterated that TON’s long-term price trend was still bullish.
