The past three days have been tough for TON as it posted minor losses amid retracement

While its V-shaped recovery pattern is still intact, it is likely to resume bearish avtions if the price continues to drop daily.

The past three days have been tough for TON as it posted minor losses amid retracement. While its V-shaped pattern is still intact, it is likely to resume bearish actions if the price continues to drop daily.

Last month saw most altcoins go through a temporal halt in selling as they retraced significantly, but many short-lived the momentum following a sharp rejection and they quickly lost steam after tapping a month’s high.

However, TON’s retracement is still looking intact on the daily chart as it continues to form a V-shaped pattern, but the crypto recently saw a setback following a bearish weekly start. This loss came as a result of the retracement of the bullish impulsive movement, which came in the form of a higher-high and higher-low pattern on the hourly chart.

If this bullish pattern continues to play, we can expect a bounce back soon. This should bring more increase to sustain the bullish V-shaped pattern on the daily chart. As mentioned in the previous analysis, this reversal pattern is capable of sending the price to $7, to form an inverse head-and-shoulder pattern after a major pullback.

On the other hand, a sharp drop from the current trading level could bring us back to the recent bottom. Such a move would invalidate the current bullish signal daily, especially if the price breaks down.

In the latest drop, there’s close support at $3.52. If this support fails to produce a bounce, the price may roll over to the $3.18, $2.74 and $2.36 levels.

Retaking the weekly lost $4.21 high, TON may advance buying towards the $4.79 level. The higher resistance level to watch for a surge is $5.66.

Key Resistance Levels: $4.21, $4.79, $5.66

Key Support Levels: $3.52, $3.18, $2.74

This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

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