On November 6, 2024, the price of TON cryptocurrency soared 35% after a golden cross, reaching $6.20. Meanwhile, its volatility increased, and trading volume on DEXs like STONfi and DeDust rose. If the subsequent trend follows the previous pattern, the next rebound is expected to push the price up to $14.
TON cryptocurrency price soared 35% after a golden cross: will it happen again?
A golden cross is traditionally seen as a bullish pattern, where the short-term moving average crosses above the long-term moving average. After this golden cross occurred, the price of TON surged from $4.60 to $6.20 in just 18 days, with volatility also jumping, which typically accompanies strong price trends, indicating that the market expects greater price fluctuations that may further drive prices up.
From a quantitative analysis perspective, the number of TON token transactions is positively correlated with asset prices. Historically, when the number of tokens increases, the price of TON tends to rise as well. User activity (reflected by trading volume) on platforms like STONfi and DeDust may serve as an early signal for price increases, with the price of TON typically rising alongside increasing trading volume, peaking before slightly declining or consolidating. Currently, analysts are waiting for token trading volume to continue increasing as a signal for the next bull market cycle for TON.
Looking at trading volume, the trading volume of TON cryptocurrency increased significantly at the end of 2023. In the past 30 days, the growth in different trading scales was notable, with a 374.57% increase in trading volume in the $1,000 to $10,000 range, a 156.7% increase from $10,000 to $100,000, and a 201.39% increase from $100,000 to $1,000,000, indicating that TON is favored by investors and that trading activities are diverse.
The increase in trading volume is highly correlated with the price fluctuations of TON cryptocurrency, driving its price to soar between $1.10 and $6.20 in early 2024. However, a slight decline in the lower trading range of $0 to $1 may indicate a reduction in small transactions, with an increase in the number of large traders and institutional participation.
