Coinspeaker Toncoin (TON) Breakout Spurs 40% Surge Amid Bullish Momentum
Toncoin (TON) surged nearly 6.50% on August 19th, defying the broader crypto market’s downturn. While most cryptocurrencies saw a collective decline of 3%, TON’s performance stood out, signaling a strong divergence from the overall market trend, according to TradingView.
The surge in TON’s price is linked to a “bump-and-run reversal” (BARR) pattern, a well-known technical indicator in financial markets. This pattern has three key stages: a gradual price decline, a sharp drop, and a recovery that leads to a breakout. TON’s price action followed this exact sequence.
On August 18th, Toncoin entered the final “run” phase of the BARR pattern, breaking above a critical downtrend line. This breakout was supported by a noticeable increase in trading volume, which indicates strong buying interest.
Furthermore, currently trading at $6.76, TON’s price is above its 50-day and 200-day exponential moving averages (EMAs), both of which are trending upwards, adding to the bullish outlook.
Photo: TradingView
Technical Indicators Point to Potential 40% Rally
If TON continues its upward trend, it could reach $9.50 by September, a 40% rise from its current price. This target matches the peak of the BARR pattern’s “bump” phase and aligns with resistance levels seen in early July 2024.
Adding to this positive outlook, the daily chart shows a potential inverse head-and-shoulders (IH&S) pattern. This pattern, which often signals a market reversal, consists of three dips, with the middle dip being the deepest. These dips occur below a shared resistance level called the neckline.
Typically, when the price breaks above the neckline in an IH&S pattern, it climbs by an amount equal to the distance between the neckline and the deepest dip (the “head”). If this pattern holds for TON/USDT, the price could approach $10 in September, which aligns with the BARR breakout target.
Toncoin Gains Momentum with Strategic Partnerships
Toncoin’s recent rise is driven by key positive developments. On August 14th, the TON Foundation launched TON Ventures, a $40 million fund aimed at supporting new projects on the TON blockchain. This fund is likely to attract developers and innovative projects, boosting the network’s growth.
On the same day, TON was integrated with the decentralized finance (DeFi) protocol Injective. This partnership enables TON-based assets to be used within Injective’s ecosystem, including various decentralized applications (dApps). This move broadens TON’s use and may lead to greater adoption in the DeFi sector.
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Toncoin (TON) Breakout Spurs 40% Surge Amid Bullish Momentum
