Toncoin (TON) sell-offs are increasing: Onchain data is scary.

Toncoin’s market value/realized value (MVRV) ratio, which measures the profitability of its investors, shows that the altcoin has been undervalued in recent weeks.

As of the writing of the news, TON’s 30-day and 90-day MVRV ratios are minus 0.26 percent and minus 5.38 percent, respectively. According to the onchain data in question, Toncoin is undervalued. In addition, short-term investors have increased their selling tendency.

Toncoin ($TON ) may be undervalued

Last week, net flows in Toncoin whales fell by 115 percent despite a 1 percent increase in price. Whales are critical indicators of market trends. Net flows, on the other hand, can give an idea of ​​market sentiment, the difference between what they buy and sell over a certain period of time.

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When the net flow of a cryptocurrency decreases, it indicates that whales are selling their holdings, which is a sign of selling pressure and a price drop.

Short-term investors may bring downside

Short-term (STH) TON investors have also reduced their holding periods for the token, increasing the risk of a downside. According to IntoTheBlock, holding periods have decreased by 7 percent in the last month.

STH holders, who typically hold assets for less than 30 days, may sell when they want to protect profits or avoid losses from a projected price drop. A decrease in STH holdings usually indicates that demand is decreasing, adding more downward pressure to the asset’s price.

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