- Market sentiment around the token was bullish last week
- Technical indicators pointed to a price increase in the coming days
After a week that saw Toncoins [TON] price fell almost double digits, the bulls finally gained control. However, it was interesting to note that while the price action of the coin remained volatile, its adoption in the market increased sharply. Hence the question: will this be enough to further increase the price of the coin?
A deep dive into the Toncoin ecosystem
IT Tech, a popular crypto analyst, shared one tweet highlighting quite a few notable developments regarding the Toncoin ecosystem. The tweet first stated that Toncoin’s daily active addresses have soared, reaching 3.8 million at the end of September, up from 2.2 million in August.
This clearly indicated a significant increase in the use and adoption of TON around the world.
Source:
Another notable development concerned whales. According to the tweet,
“Whale concentration is remarkably high in the TON ecosystem, with GOMINING and JETTON showing a concentration of 97%. Such dominance of large investors could influence market dynamics, which could impact smaller investors and overall market fluidity.”
Apart from this, the price action of the token has also remained almost stable. Despite market fluctuations, Toncoin’s market capitalization remained stable at $13.4 billion at the end of September. This reflected investor confidence and Toncoin’s strong positioning within the ecosystem, providing a sense of security amid volatility.
Will these cause TON to turn bullish?
While all this was happening, the price of TON fell by over 9% last week. And yet, the past 24 hours have been in investors’ favor, as Toncoin saw a price increase of over 1.8%. At the time of writing, the token was trade for $5.42.
Therefore, AMBCrypto planned to check the token’s on-chain data to find out if the rising adoption and other factors mentioned above were enough to sustain this bull rally.
According to our analysis of Santiment’s data, Toncoin’s weighted sentiment remained largely in the positive zone over the past week. This meant that bullish sentiment around the token was high. Social dominance was also relatively high, reflecting the token’s popularity in the crypto space.
In addition, the supply of TON on the stock exchanges fell enormously. This indicated that investors purchased the token hoping for a continued price increase in the coming days.
Source: Santiment
Read Toncoin (TON) price prediction 2024-25
We then checked TON’s daily chart to see what the market indicators were suggesting regarding an ongoing bull rally.
According to our analysis, TON’s price reached the lower limit of the Bollinger Bands. When that happens, it means there is a good chance of a northbound rally. If that actually happens, TON could potentially target $6.8 first.
However, if the bears take over, the token’s price could drop to $4.4 on the charts.
Source: TradingView