Toncoin [TON] has taken the cryptocurrency world by storm, with the number of its holders growing from 4.3 million at the beginning of 2024 to 100 million currently. The rapid growth in holders has been accompanied by a corresponding surge in trading volume, indicating strong market interest.

At press time, TON is trading at $5.03, down 3.29% from the previous day. Therefore, the key question is whether TON can maintain this momentum and enter a higher price range.

TON Technical Analysis: Is a Rebound Coming?

Checking TON’s technical indicators, the Relative Strength Index (RSI) is at 45.18, suggesting that the market is just below neutral. This shows that the market is slightly oversold, suggesting that a rebound could be imminent.

However, the MACD (Moving Average Convergence Divergence) is showing a mild bearish signal as the histogram is hovering below zero, reflecting little momentum in either direction.

Therefore, traders are closely watching for breakout signals to determine TON’s next move.

TON Network Activity: Short-term Decline or Long-term Growth?

Daily active addresses are another important factor in understanding the health of the TON network. At press time, 174 active addresses were recorded, down from 188 the day before. This slight drop could indicate a temporary cooling-off period.

However, given the significant increase in the number of long-term holders, broader network growth remains strong. Furthermore, even with short-term activity fluctuations, the influx of new users suggests strong adoption.

Long-Short Ratio: Bearish Sentiment Could Spark a Rally

Interestingly, the updated long-short ratio shows a more balanced sentiment. Currently, 53.45% of traders hold short positions, while 46.55% of traders hold long positions. Therefore, the long-short ratio is 0.8709, indicating that bears still have a slight advantage.

However, the gap is much smaller than in previous sessions.

Therefore, this balance indicates that the market could see two-way volatility. Therefore, traders should be prepared for sudden price movements as the balance between longs and shorts tightens.

Open interest: Increased speculation could fuel higher volatility

Open interest increased by 1.02%, with $232.72 million now invested in TON futures. The growth points to increasing speculative activity as traders take leveraged positions in anticipation of further price volatility.

As volatility rises, markets can experience sudden and dramatic shifts.

​TON is on the verge of another breakout. Although some technical indicators show short-term bearish signals, the growth of long-term holders and increased speculative activity suggest that TON will continue to maintain its upward momentum.

If TON breaks above its resistance level, a sharp rally is likely.