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- Toncoin bulls are pushing the altcoin to retest the $7 psychologically important level.
- The digital currency has bullish analyst forecast backing complemented by a growing ecosystem.
Toncoin (TON), currently ranked as the 12th-largest crypto by market cap, is exhibiting a bullish rebound as it moves towards the $7 mark. The rally in Toncoin’s price is linked to optimism in the broader market and fresh buying activity in altcoins.
What Is Next for Toncoin
TON has captured traders’ attention with green candles and a solid push above key resistance levels. At the time of writing, TON price was up 3.17% and trading at $6.63, approaching a three-month high of $7.
In its latest rally, TON’s price broke above the downward channel, a region where it remained locked since September.
The rally also resulted in a golden cross, in which the 20-day EMA crossed above the 200-day EMA. Historically, this signals the potential for a long-term upswing. Furthermore, after seeing some healthy bullish sentiment, the altcoin reached a comfortable position above its 20, 50, and 200-day EMAs.
The next milestone for the bulls is to see the 50-day EMA cross the 200-day EMA. A successful crossover might pave the way for a long-term bullish rally, with $7.6 and $6.8 as the major resistance levels to watch.
However, a near-term correction could bring the price to test the support zone around $6.1 if TON struggles to maintain its prevailing momentum. This support level also coincided with a liquidity zone, giving a reasonable safety net for the bulls.
A successful comeback from this support level could spark buying pressure.
TON’s Technical Analysis
Meanwhile, the Relative Strength Index (RSI) stands at nearly 69 at press time, indicating that Toncoin is approaching overbought territory. Any drop below 70 could signal a period of consolidation or a modest retreat before the next potential uptick.
Furthermore, the daily trading volume increased by 8.39% to $547 million, suggesting growing investor interest. However, Open Interest declined by 8.15%, implying that some traders are closing their holdings, probably to lock in profits following the recent spike.
Meanwhile, Toncoin traders preferred short positions, as seen by the long/short ratio across exchanges, which stood at 0.8591. Nevertheless, the bulls preferred Binance’s long/short ratio at 3.8473, indicating optimism among traders on this exchange.
Bitcoin’s movement following big bets from institutional investors could also influence TON’s trajectory in the short term.
With traders showing keen interest, Toncoin’s price might explode soon. Market analyst Amina Chaattha believes TON could trigger an upside toward $7 if it clears the $6.318 resistance level successfully. In a more bullish forecast, crypto analyst Ramseycrypto predicted that TON will climb towards $10.
As revealed in a CNF post, another analyst, CryptoBullet1, forecasted a price range between $12 and $15, citing an impending Wave 5 for TON. It is worth noting that Toncoin has the right fundamentals to boost these price projections.