The price of TON Coin (TON) recently failed to break above the important resistance level of $6, which is a significant psychological barrier. Although the altcoin reached $5.96, it failed to maintain the necessary momentum to turn this level into support.
Despite this setback, there is still a possibility of recovery, and TONCOIN retains its upside potential.
There is an opportunity in Toncoin
The macro momentum of TONCOIN is starting to weaken. The widely used Moving Average Convergence Divergence (MACD) indicator suggests that the bullish momentum is fading. The shrinking green bars on the histogram indicate this loss of momentum, indicating that the bullish trend is weakening.
However, this does not mean a complete reversal. As long as the MACD is above the neutral line, there is no clear bearish signal. A break below the neutral zone confirms a bearish reversal, but for now, TON remains vulnerable and indecisive.
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Nevertheless, the market sentiment for TONCOIN has improved, especially as the dominance of short-term investors has decreased. These investors typically hold assets for less than a month and often tend to sell quickly, adding volatility to the price. In the past 10 days, the percentage of these investors has decreased by 11%, from 26% to 15%.
This change is significant. A value above 25% usually indicates potential bearish pressure. With fewer short-term holders, the risk of a sharp sell-off decreases, which stabilizes the price of TON and reduces the possibility of an immediate bearish trend.
TON Price Prediction: The Barrier Is Coming
Currently, TON Coin is trading at $5.81 and has recently failed to break above the $5.96 resistance. This resistance is a key turning point for the cryptocurrency, and a break above it could pave the way for a $6 attempt. This level is still difficult to reach.
Despite failing to break above resistance, TON still has a chance to turn $5.96 into support. If successful, this could trigger a rally that could push the altcoin higher, with $6.36 being the next target.
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However, if TON fails to break above $5.96 again and the bullish momentum continues to weaken, the asset may enter a correction phase. This could see TON trading between $5.37 and $5.96, invalidating the current bullish outlook.
