Toncoin (TON) Rallies 15% After Binance Listing Read CoinChapter.com on Google News
NAIROBI (CoinChapter.com)— Binance announced the listing of Toncoin (TON) on Aug. 8, 2024, at 10:00 UTC. Trading pairs include TON/BTC, TON/USDT, TON/FDUSD, and TON/TRY. This announcement follows Binance’s launch of TON futures trading on March 1, 2024.
Toncoin has increased by over 170% in 2024, reaching its all-time high on June 15. Despite a sharp fall afterward, TON rebounded by 30% since its Aug. 5 lows. Following the Binance listing news, TON/USD saw a price surge to $6.42.
Binance Adds Seed Tag to Toncoin to Safeguard Users
Binance has added a seed tag to Toncoin (TON), indicating its early development stage and potential higher volatility. Users must pass quizzes every 90 days on the Binance spot platform to access trading, ensuring they understand the risks.
Binance stated that TON is a new token with higher-than-normal risk and is likely to experience high price volatility. They emphasized the importance of sufficient risk management and conducting thorough research before trading.
Binance Lists Toncoin. Source: X
Earlier this year, Toncoin experienced a 10% price increase when Binance launched TON Perpetual Contracts on March 1, 2024. The product offers up to 50x leverage, drawing attention to the Telegram-associated blockchain.
Toncoin Price Analysis: Rebound Amid Technical Indicators
On the daily time frame, TON/USD interacts with the 50-day and 200-day exponential moving averages (EMAs). The 50-day EMA at $6.74 acts as a resistance level. Historically, crossing above this EMA has led to bullish trends, while staying below it suggests continued bearish sentiment.
The 200-day EMA at $5.62 provides support, preventing further declines.
TON/USD 1-day price chart. Source: TradingView
The Relative Strength Index (RSI) on the daily chart stands at 45.75, indicating that Toncoin is neither overbought nor oversold. An RSI below 30 signals oversold conditions, while an RSI above 70 suggests overbought conditions. The current RSI level implies a neutral market stance.
Toncoin faces challenges in surpassing the $6.74 resistance. Breaking through this level could lead to further gains towards $7.00. Failure to maintain the current momentum might result in a retest of the $5.62 support level.
Whale Activity and On-Chain Data Hint at Bigger Moves Ahead
On-chain data from Santiment reveals a capitulation event on Aug. 5. The Network Realized Profit/Loss (NPL) indicator, which measures market pain, showed a dip, indicating that Toncoin holders were realizing losses, suggesting panic sell-offs.
The NPL dipped from -85,630 to -455,340, coinciding with a 12.5% price drop.
Toncoin Network Realized Profit/Loss (NPL). Source: Santiment
Additionally, the Toncoin Supply Distribution metric highlighted interesting whale activity. Whales holding 10,000 to 100,000 Toncoin tokens reduced their holdings, while those with 100,000 to 1 million tokens increased their positions.
The suggests that some investors took advantage of the price dip to accumulate more tokens.
Toncoin Futures Open Interest (USD). Source: Coinglass
Toncoin’s futures open interest surged to $9.5 million on Aug. 8, 2024, coinciding with Binance’s listing announcement, while the price rose to $5.44. This increase in open interest and price reflects heightened market activity and investor interest, indicating strong speculative interest in Toncoin’s future prospects.
Despite the positive market sentiment and bullish technical indicators, a daily candlestick close below $4.8 would invalidate the bullish thesis, potentially leading Toncoin’s price to drop to the next support level at $4.3.
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