Toncoin (TON) Cryptocurrency Sees a Surge in Exchange Netflows, Catching the Attention of the Market

Toncoin, the native cryptocurrency of The Open Network (TON) blockchain, has seen a surge in exchange netflows, catching the attention of the market and prompting discussions about the implications for TON.

Toncoin (TON) price rose sharply on 27 February, amidst a 357% surge in Toncoin exchange netflows. This indicator tracks the net movement of Toncoin into and out of cryptocurrency exchanges. A negative netflow, like the one observed here, indicates a higher volume of Toncoin being withdrawn from exchanges.

This netflow surge has positive implications for Toncoin, according to IntoTheBlock. The indicator highlights the trend of traders sending money in and out of exchanges. Negative netflows indicate a greater volume is being withdrawn from exchanges. This could be seen as a sign of accumulation or addresses buying back following major drops. That said, the 357% increase in exchange netflows can be seen as a bullish signal for Toncoin.

Meanwhile, netflows are positive when more funds are entering than leaving exchanges.

Another key indicator from IntoTheBlock, large holders' netflow to exchange netflows, points toward the predominance of retail activity.

The large holders' netflow to exchange net flows indicator computes the ratio of large holders' netflows (inflows minus outflows) to those of centralized exchanges. It provides insights into retail and large-holder activities, indicating potential market patterns such as cashing out or asset accumulation.

This indicator compares the behaviors of large holders referred to as whales and retail traders. A high ratio could imply that whales are more active than retail traders, indicating a trend toward accumulation. In contrast, a low ratio may indicate more activity by retail investors.

For Toncoin, this key metric has surged 393% in the last seven days, suggesting increased activity by retail traders.