Will short-term holders of TonCoin be able to recover TonCoin’s value?
TonCoin (TON), The Open Network's native cryptocurrency, has had a challenging few weeks, with its price down 15% over the past 30 days to $5.21. This decline resulted in unrealized losses for many short-term holders.
However, these same carriers may play a critical role in the potential recovery of tonnage as they seek to take advantage of future price improvements.
The market started doing Toncoin's Bounce
On September 2, IntoTheBlock data showed a 53% increase in the number of traders. Traders, in this context, represent addresses that have held the token for the past 30 days.
There is also a 20% increase in the number of cruisers – a term used to describe addresses stored between the last 30 and 365 days. Long-term holders, however, saw only a small increase.
Typically, an increase in short holders indicates strong confidence in a price recovery. If this trend continues, Tons may see reduced selling pressure, which could improve the chances of a rebound from recent lows.
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The daily chart indicates that the balance of power (BoP), a technical tool that measures the market strength of buyers versus sellers, supports a potential price rebound for Toncoin.
A higher BOP reading reflects increased buying pressure, while a fall suggests that sellers are in control and a price cut may follow. Currently, BoP has increased, indicating that the price of Toncoin may be poised for a recovery.
Ton price forecast: Hopes are not lost yet.
According to the daily chart, the ton is currently selling around $5.23, which previously led to a rally and now serves as a critical interest zone, which indicates a buying opportunity. However, for confirmation of this bullish potential, other indicators such as the Relative Strength Index (RSI) are needed.
As of now, the RSI indicates momentum uncertainty. If buyers start buying the dip, Toncoin could see a 10% increase pushing to $5.76, but it could face resistance around $5.55.
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If the ton breaks above $5.55, it could confirm a run to $5.76. However, if the token fails to break above $5.55, it may drop below $5, with the next support level at $4.86.
Disclaimer
In accordance with Trust Project guidelines, this price analysis article is for informational purposes only and should not be construed as financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always do your own research and consult with a professional before making any financial decisions. Please note that our terms and conditions, privacy policies and disclaimers have been updated.
