Toncoin (TON) is nearing a crucial support level at $3.250, and analysts are watching closely. If buying pressure increases, TON could be set for a bullish reversal, targeting key resistance levels at $5.262, $6.175, and $7.105.
TON Price Performance and Key Support at $3.250
TON is currently trading at $3.779, marking a 7.26% drop in the past 24 hours. The $3.250 level has historically acted as a strong demand zone. If the price holds here, traders may enter positions in anticipation of a rebound.
However, if TON fails to maintain support at $3.250, the price could decline further, potentially testing $3.00 or lower before any recovery takes place.
Technical Indicators Suggest Potential Rebound
Technical analysis points to a possible bounce. The Relative Strength Index (RSI) is at 21.17, indicating oversold conditions. This suggests that buyers could soon step in, pushing prices higher.
Meanwhile, the Moving Average Convergence Divergence (MACD) remains bearish, with the MACD line below the signal line and the histogram showing negative momentum. If a reversal occurs, traders may look for confirmation from these indicators before entering bullish positions.
Falling Wedge Pattern Hints at Breakout
Market analyst best_analysts highlights a falling wedge pattern, a formation often linked to bullish breakouts. If TON breaks above this pattern, resistance levels at $5.262, $6.175, and $7.105 could become key price targets.
These levels align with past resistance zones and Fibonacci retracement points, meaning profit-taking could occur at these stages.
Funding Rate and Market Sentiment
TON’s funding rate has remained relatively neutral over the past few weeks. This indicates a lack of strong sentiment in favor of either bulls or bears. A high funding rate suggests long positions are dominant, while a low rate signals shorting pressure.
Since peaking at $7.89 in early December, TON’s price has declined, accompanied by a drop in the funding rate. This points to liquidations and bearish sentiment. However, with the funding rate now neutral, traders are waiting for a clear trend before committing to new positions.
Majority of TON Holders at a Loss
On-chain data reveals that most TON holders are currently in the red. Many traders bought above $3.80, meaning they are holding at a loss. Only a few wallets are in profit, having purchased at lower prices.
For a true bullish turnaround, TON needs to break above key resistance levels. If buying volume increases, more holders will move into profit, reducing selling pressure and supporting a sustained rally.
Final Thoughts
Toncoin’s price action is at a critical juncture. The $3.250 support level will play a decisive role in the coming days. If it holds, a bullish rebound could send prices toward key resistance levels. However, if it breaks down, further declines could follow before a recovery begins.
Traders should watch technical indicators and market sentiment closely to gauge the next move for TON.