Toncoin ($TON), one of the bigger cryptocurrencies in the space, may be ready to climb out of a bearish hole it’s been in these past few days. Toncoin price has jumped 1% over the last 24 hours and now stands at around $5.72.
Following a challenging period of bear dominance that brought the token to test critical support levels, now this token sees a price increase. The price climb, although small, has occurred at the same time as an improvement in broader market sentiment.
According to CoinMarketCap, Toncoin’s trading volume, over the past day, has risen by over 21.6%, with transactions totaling $174.34 million. This increased activity indicates that market participants are starting to get excited about the cryptocurrency again, as they watch for indications of a growing upward trend.
Technical Indicators Point to a Reversal
On the 4-hour Toncoin chart, analyst Ali Martinez reveals a bullish sentiment indication. The buy signal was also spotted by the TD Sequential indicator, a popular tool among technicians. When a market is on the verge of flipping from a bearish to a bullish trend, this signal generally appears. The TD Sequential showed the ninth candle in a row on the chart being red, a classic prelude to a price rebound.
This buy signal is appearing at just the right time. Recently, we have seen Toncoin consolidating around a recent support zone of $5.64–$5.70, support which held despite lower pressure.
Such signals are often interpreted by traders as an occasion for market entry under the assumption of price recovery. Looking at the chart, this technical indicator is flashing green, and it is just stacked the charts of the bears are flashing red.
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This makes the case far stronger for Toncoin bulls to savor the moment. Toncoin also holds up great in the chart, sustaining its position above critical support levels, even at times of intense selling pressure.
Market Metrics and Toncoin Price Performance
Toncoin’s fundamentals, meanwhile remain strong, backing the bullish narrative. The cryptocurrency has proved itself to be one of the leading assets in the digital market with a market cap of $14.5 billion. Its circulating supply is 2.53 billion tokens, which helps increase liquidity and availability (for traders) of the token.
Telling upwards of 100 words, the past 24 hours have also seen an uptick in market engagement, manifesting in an uplift in trading volumes.
These signs of renewed interest imply that investors are carefully watching Toncoin’s movements. They are perhaps lining up for the next big one. Even though the recent bearish trends have attempted to suppress the token, it has so far held within a very tight trading channel, ready to breakout.
On the hourly chart, Toncoin has been in consolidation moving between $5.64 and $5.78. However, the current prices are extremely important in this rangebound action which also shows the caution of the traders.
A break above $5.78 resistance could be the start of an upside rally, whereas a break below $5.64 support could be taken as an opportunity to the downside.
Toncoin’s Next Moves
For Toncoin, support and resistance levels have been extremely important to the latest price action. This $5.64 to $5.70 area is now acting as key support. It is being used as a safety net by the token as sellers take the reigns. The zone has proven resilient, time and time again. Traders have faith its resilience will allow it to act as a launch pad for new price increases.
$5.78, on the other hand, has been a major resistance point. It confirm a bullish reversal, Toncoin must through this resistance and stay above it.
Such a move certainly wouldn’t discourage any additional buying pressure as it’s likely to drive the price to the psychological $6.00 level. If Toncoin can reach this milestone, it would not only do so much to put more teeth behind the bullish narrative, but also tell the market that Toncoin has regained upward momentum.
