The Toncoin (TON) price is critical at $3.250, generating short-term buying triggers for a bullish run. According to market analysts, such sustained buying momentum can drive TON towards significant resistances at $5.262, $6.175, and $7.105 in a matter of a week
The Toncoin (TON) price has fallen sharply from a critical resistance at $3.250, rendering market analysts’ bullish outlook for the cryptocurrency in jeopardy. Such a failure to hold above the support level could lead to further losses for TON.
According to market analysts, a critical support level for Toncoin is at $3.250. A sustained breakout from this level could trigger buying momentum, leading TON towards resistances at $5.262, $6.175, and $7.105. However, a failure to hold above this support could push the cryptocurrency towards $3.00 or lower before any recovery attempt.
Best_analysts have identified a falling wedge pattern that could serve as a catalyst for a breakout. In such a scenario, Toncoin would face resistances at $5.262, $6.175, and $7.105, which align with previous resistances and Fibonacci retracements. These levels could present opportunities for taking profits.
The funding rate for TON, weighted by open interest (OI), has been hovering around zero recently, indicating a lack of strong bullish or bearish bias. High funding rates typically suggest high demand for longs, while low funding rates indicate a preference for shorts. In this case, with funding rates close to zero, the market appears to be indecisive, with investors awaiting clearer cues to go long.
Toncoin's price has declined significantly from its December high of $7.89, with a backdrop of low funding rates, which could be a sign of bearish sentiment and forced selling. On the other hand, the funding rates are still neutral, which could also suggest that investors are in a wait-and-see mode.
Data from Best_analysts also shows that the majority of TON holders are underwater, with the average basis of most wallets being above the current price of $3.79. Only a small portion of holders, who purchased TON at a price below the current level, are in profit, while others are at breakeven.
For Toncoin to resume its bullish momentum, it will need to overcome these resistances. A surge in buying volume and a shift in sentiment could halt the sell-offs and support a sustained reversal. In the meantime, investors and traders will be keeping a close eye on the $3.250 support level as a pivotal point of inflection.
As the broader cryptocurrency market continues to experience volatility, TON's fate will likely be determined by a combination of technicals, sentiment, and market forces. Whether Toncoin can reclaim its December highs or fall even deeper will be a matter of a few weeks.
