Toncoin (TON) Eyes $7 Mark: Will It Break Key Resistance?

Toncoin (TON), the popular cryptocurrency tied to Telegram, is steadily aiming for the critical price level of $6, but reduced network activity could hinder its upward momentum. As investors assess the situation, let’s dive into the current trends to understand whether TON can reach the $7 milestone.

Toncoin Gains, But Investors Remain Cautious

Currently trading at $5.77 with a 4% daily increase, Toncoin is nearing the key resistance of $5.96, where 61 million TON, worth $351 million, were acquired. This resistance should be manageable to overcome.

On the downside, Toncoin has strong support between $5.48 and $5.65, where 628 million TON, valued at $3.6 billion, were bought. This support range provides a cushion against potential declines.

Declining Network Activity May Hinder Growth

Despite its price rally, Toncoin’s network activity has seen a significant drop. Over the past 11 days, the number of active addresses has fallen by 31%, from 3.5 million to 2.4 million. This decline signals that investors may be wary of increased volatility, which could dampen the token’s upward momentum. Lower participation could slow down the rally, even though the token is positioned well to push higher.

Can TON Reach $7?

Toncoin's path to $7 depends on breaking the $5.96 resistance. If successful, the next hurdle lies at $6.36, a critical point for continued growth. Converting $6.36 into a support level is key to hitting the $7 target.

However, if investors start taking profits, TON may struggle to clear $5.96, risking a stalled rally and relying on the $5.49 support zone to avoid further declines.

Conclusion

While Toncoin shows growth potential, weak network activity and profit-taking could slow its progress. Breaking key resistance levels will be crucial for its rise to $7.

Disclaimer:

Research carefully before investing. Only use funds you can afford to risk, and take full responsibility for your investment decisions

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