Can Toncoin climb back to the top 10? Analyzing TON’s downtrend

• TON had the highest decline among the top 20 assets.
• It has seen an over 1% increase in the last 24 hours.

Toncoin [TON] has experienced a slight positive trend in the last 24 hours, following several days of significant declines. Despite this brief upward movement, the overall sentiment remains negative, and there is the potential threat of a looming death cross.

However, Toncoin could see a reversal in its downward trend if it holds above certain critical price levels.

Toncoin remains trapped in bear trend

Analysis showed that the Toncoin price has been in a steady downward trend since late July after reaching a high near the $6.00 mark. As of this writing, the price was hovering around $4.72, with a slight increase of 1.09%. 

Also, the price is below the 50-day moving average (yellow line), which serves as a resistance at around 6.074, which suggests a bearish short-term trend. Also, the price is below the 200-day moving average  (blue line), which serves as another resistance level at around $5.907, indicating a bearish long-term trend.

Additionally, the chart shows that a death cross is imminent, which happens when the yellow line goes below the blue line. This is an indication of a more negative trend for TON. 

Source: TradingView

The RSI value is currently 33.77, which is in the oversold region. This suggests that the price has declined for a while and may be due for a reversal or a relief bounce.

For the price to confirm a reversal, it would need to break above the 50-day moving average at around $6.074 and the 200-day moving average at around $5.907.

Toncoin remains out of top ten

An analysis of data from CoinMarketCap shows that Toncoin (TON) has struggled to reclaim its spot among the top ten cryptocurrency assets.

With a market capitalization of approximately $11.9 billion, TON remains about $200 million short of surpassing Cardano (ADA), which currently holds the tenth position.

Additionally, among the top 20 assets, TON has experienced the highest decline over the last seven days, dropping by over 11%. This significant decline has further hindered its progress in closing the gap with Cardano and moving back into the top ten. 

TON traders show slight positive moves

An analysis of Toncoin’s  funding rate on Coinglass reveals that market activity has recently been relatively low. Despite the overall inactivity, the observed trends have been predominantly negative.

However, there was a recent slight positive shift, with the funding rate rising to approximately 0.0073%.

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This small uptick suggests some short-term optimism, though the overall market sentiment for Toncoin remains cautious. The rise in the funding rate may indicate an increase in long positions.

However, sustained positive momentum will require a more significant and consistent rise in activity and sentiment to counterbalance the recent negative trends.