Toncoin (TON) Price Analysis: Is a Recovery in the Cards?
Toncoin (TON) has seen a rough 24 hours, dropping by 10% and dipping below $5 for the first time since May. Currently trading around $4.67, many are wondering if this is just a temporary dip or the start of a more significant downturn.
Key Levels to Watch
Analyzing the liquidation heatmap, an indicator that predicts price levels where large-scale liquidations might occur, suggests that TON could see further drops. According to Coinglass data, if TON reaches $4.54, over $400,000 worth of contracts are expected to be liquidated. This indicates a potential area of resistance, where selling pressure might be stronger.
However, the Bull Bear Power (BBP) indicator, which assesses the strength of buyers and sellers in the market, shows that this level might not be reached. Currently, the BBP is below the zero line, signaling that bears are in control. This could lead to more selling pressure and accelerate the downward trend.
TON Price Prediction: The Decline Continues?
Since August 19, TON has been in a corrective phase. This indicates more selling than buying, suggesting that the current downward trend could continue.
The daily chart also reveals a rounding top pattern formed between August 2 and 26. This pattern is often a bearish signal, indicating a potential reversal of the previous uptrend. TON’s price failed to stay above the neckline at $5.99, which acted as a support level, leading to the recent decline below $5.
While the current downtrend is concerning, a bullish reversal is not entirely out of the question. If buying pressure picks up, TON could potentially bounce back towards $5.40. However, the current market conditions suggest that further drops below $4.60, potentially reaching $4.55, are more likely.
**It’s important to remember that this analysis is for informational purposes only and should not be considered financial or investment advice. Always conduct your own research and consult with a financial professional before making any investment decisions.**
**Links:**
* [Toncoin Website](https://ton.org/)
* [Coinglass](https://www.coinglass.com/)
* [TradingView](https://www.tradingview.com/)
