On the evening of August 24, 2024, Pavel Durov, the founder of the real-time social networking software Telegram, was arrested in France. This news quickly caused a shock in the market. The cryptocurrency ecosystem TON created by Pavel Durov was also hit hard. The TON currency The price fell sharply from a high of $6.8 to around $5.2.
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ToggleThe similarity between the arrest of TON founder and the BNB incident
The arrest of Pavel Durov has a similar background to the previous sentencing of Binance founder CZ. Behind these two incidents, both reflect the desire of governments of various countries to strengthen supervision of the cryptocurrency industry. As we all know, the cryptocurrency market is an area full of wealth, but at the political and legal level, there is always a lack of national endorsement or support. For this reason, governments often hope to profit from exerting pressure, and arresting well-known cryptocurrency founders and imposing fines in the name of justice has become an effective method. Previously, Changpeng CZ’s Binance was fined US$4.3 billion by the US government, and now Pavel Durov may face a similar situation.
Where will the future of the cryptocurrency TON ecosystem go?
So, can the price of TON rebound after this plunge? This is undoubtedly the issue that investors are most concerned about. After CZ fell into a judicial crisis last year, the price of BNB fell sharply, but as the Binance Exchange launched new projects through the Launchpool platform, the price of BNB gradually recovered. It can be said that the activity of the Binance ecosystem determines the price basis of BNB. As long as this foundation is solid, the judicial turmoil will be difficult to have a lasting impact on the price of BNB, and BNB will eventually be able to rebound.
So, what is the foundation of the TON ecosystem? The answer is undoubtedly Telegram. As an important gateway from web2 to web3, Telegram has nearly 1 billion active users, which is the key to supporting the price of TON currency. Although the founder is currently facing legal challenges, as long as these legal issues do not affect Telegram's user base, TON's fundamentals will still exist and the price may still gradually recover. According to transaction data, when the price of TON fell to $5.2, some funds did engage in buy the dips, causing the price of TON to rise back to the current price of around $5.7.
What is the possible future trend of TON coin price?
However, it should be noted that although the judicial incident failed to damage the fundamentals of Binance and TON, the market environments in which they operate are different. When the price of BNB plummeted, the market was still in the early stages of a bull market. As the price of Bitcoin rose and the Binance ecosystem expanded, the price of BNB recovered. But the current market environment that TON faces is completely different. The price of Bitcoin has risen from around $20,000 to over $60,000 since the beginning of this year. The market has huge differences over its subsequent trend. The remaining time of the bull market is difficult to predict. If the judicial process is repeatedly delayed, the price of TON currency may miss the last opportunity to rise this year.
