You've likely noticed the recent plunge in Toncoin's price, dropping to around $4.8 from $7.2. This steep decline of over 32% since December raises questions about its future. With more than 240,000 TON coins flooding exchanges, the market pressure is palpable. As it approaches a critical support level, technical indicators may hint at more trouble ahead. What could this mean for investors and the broader market landscape?
Since December, Toncoin's price has seen a significant decline, dropping from a local high of $7.2 to approximately $4.8—an alarming 32.7% loss in value. This decline represents a staggering $10.7 billion decrease in market capitalization, making it clear that something's amiss in the Toncoin ecosystem. The broader market downturn, combined with increased selling pressure, has driven investors to offload their holdings, leading to a concerning trend.
One major factor in this price drop is the increased inflow of TON coins to exchanges. Over 240,000 coins have been moved recently, which signals ongoing selling by investors looking to cut their losses. The declining burn rate and rising inflation further complicate matters. With fewer coins being removed from circulation while more are minted, the supply-demand balance tips in favor of bears. Additionally, the performance of other tokens adds pressure on Toncoin, making it hard to maintain any upward momentum. Daily issuance of 85,695 new TON tokens has contributed to the selling pressure, valued at over $400,000.
From a technical perspective, the situation looks grim. Toncoin has formed a death cross pattern, where the 50-day and 200-day Exponential Moving Averages have crossed, indicating a bearish trend. The Relative Strength Index (RSI) and Money Flow Index (MFI) are also trending downward, reflecting weak momentum. As the price approaches a key support level, the downtrend that began after reaching a high of $8.30 in June continues to loom large.
A symmetrical triangle pattern suggests further declines could be on the horizon if support levels break.
Looking ahead, the future price predictions for Toncoin display a mixed outlook. Some forecasts predict a strong rebound in 2025, with potential prices soaring up to $22.9. On average, analysts estimate 2025 prices could reach around $12.9, indicating a bullish growth scenario.
However, others suggest a more conservative range between $5.7 and $6.8, heavily dependent on market dynamics. Successful network upgrades and increased adoption could drive demand, but regulatory changes and market sentiment will play pivotal roles in determining Toncoin's future.
