Crypto: Bullish continuation of Toncoin in sight? Analysis of May 23, 2024

Toncoin recently reached its highest level ever and seems ready to surpass it. Let’s examine the future outlook for TON together.

Toncoin (TON) Price Situation

After experiencing a period of high interest from buyers, the Toncoin price reached its all-time high at $7.67. It was at this price level that TON experienced a bearish wave, bringing its price back to the support identified in the April 11, 2024 analysis, around $5. Subsequently, the price rebounded towards the cryptocurrency’s ATH but faces bearish pressure that has prevented it from breaking this level so far.

At the time of writing this article, the Toncoin is trading at $6.47. It currently seems to be going through an uncertain short-term period. However, in the medium and long term, we can be optimistic: the cryptocurrency’s structure remains bullish. This can be confirmed by the fact that TON is holding above its 50 and 200-day moving averages. On the dynamic side of Toncoin, we see a notable recovery, although recently it has been bearish, as evidenced by the oscillators and Ethereum’s own price.

The current technical analysis was conducted in collaboration with Elie FT, an avid investor and trader in the cryptocurrency market. He is currently a trainer at Family Trading, a community of thousands of active independent traders since 2017. You will find live sessions, educational content, and mutual support around financial markets in a professional and friendly atmosphere.

Focus on Derivatives (TONUSDT)

The open interest of TONUSDT perpetual contracts has followed their price. This generally indicates buyer conviction among speculators. However, they currently seem hesitant due to the more pronounced decline in open interest. Regarding liquidations, they are not particularly significant, although it is noteworthy that they mostly involve long positions. On the funding rate side, they were distinctly negative, indicating an overvalued underlying asset against the derivatives. This could be due to increased bearish pressure on TONUSDT contracts. Nevertheless, they are now stable again, indicating a certain balance among speculators.

Hypotheses for Toncoin (TON) Price

• As long as the Toncoin price stays above $5.6, we can anticipate a return to $7.46 and then its ATH at $7.67. The next resistance level to consider, if the upward movement continues, would be $8.3. At this stage, it would represent an increase of over +28%.

• If the Toncoin price fails to stay above $5.6, we could envision a return around $5. The next support level to consider, if the bearish movement continues, would be near $4. At this stage, it would represent a decline of close to -38%.

Conclusion

Following a period of high volatility, Toncoin shows signs of stability. In the short term, uncertainty remains, but the general medium and long-term outlook is encouraging. Thus, the overall positive trend and recent resilience despite bearish pressures suggest potential recovery and growth for TON. Nevertheless, it will be crucial to closely monitor the price’s reaction to various key levels to confirm or invalidate current hypotheses. It is also important to stay cautious about potential “fake outs” and market “squeezes” in each scenario. Finally, let us remember that these analyses are based solely on technical criteria and that cryptocurrency prices can evolve rapidly due to other more fundamental factors.