After Telegram founder Pavel Durov departs from France, Toncoin (TON) may soar in the upcoming weeks

After its parent blockchain, The Open Network, raised more than $400 million in funding, the cryptocurrency is continuing to rise.

Toncoin (TON) may soar in the coming weeks as it continues to outperform the larger cryptocurrency market and emerge from an inverse head and shoulders pattern.

The parent blockchain of the cryptocurrency, The Open Network, has now raised more than $400 million in funding.

May see Toncoin price rise 60%

The formation of the pattern began after TON fell to a low of around $2.30 in February.

The token has since steadily developed its left shoulder, head, and right shoulder, currently aiming for a breach of the neckline resistance at the $3.88 level.

Chart: Created using TradingView

On March 27, TON/USDT briefly rallied above the neckline, closing at $3.817 following a strong 3.78% daily gain.

The breakout was significantly correlated with an increase in daily volume and a bullish crossover of the 50-day exponential moving average (EMA), further supporting the bullish argument.

To determine the upside target, measure the distance between the neckline and the bottom of the head, then add it to the breakout point, based on the pattern's technical setup.

When compared to current prices, the projected target is about $6.16, which represents a rise of more than 60%.

The Relative Strength Index (RSI) has risen to 61.91, surpassing the 50 neutral level and heading toward increasing buying pressure, further adding to the bullish momentum.

Traders should watch for possible pullbacks toward the neckline, which could provide a retest and confirm the breakout before a higher continuation.

At $4.68, close to the 200-day EMA, immediate resistance awaits. A strong move above this level could open the door for a rally toward the measured target of $6.16.

TON Foundation raises $400M

Leading venture capital firms have contributed more than $400 million to Toncoin, the native cryptocurrency of The Open Network (TON), according to a statement by the TON Foundation.

Among the investors are Sequoia Capital, Ribbit, Benchmark, Kingsway, Vy Capital, Draper Associates, and Libertus Capital.

Rather than a traditional fundraising round, this investment is structured as direct purchases of Toncoin from early holders.

The firms are "making their own bets on the future success and utility of the TON Blockchain, its expanding ecosystem, and its potential to provide real-world utility for crypto holdings, especially within Telegram," a spokesperson for the TON Foundation said.

The funds are set to aid TON's ambitious plan to reach over 450 million active Telegram users by 2028, or roughly 30 percent of the total user base, with its products and services. This investment has the potential to significantly accelerate the adoption of blockchain technology and enrich the Telegram ecosystem.