Major factors to hinder TON's future rally
The Toncoin [TON] platform has emerged as an unexpected standout in the cryptocurrency arena during the latest market upturn.
As its network gained acclaim, the TON token saw significant valuation increases, making it the frontrunner in price appreciation for the year 2024.
Price Insights
Currently, TON is valued at $6.40, witnessing a 1.38% uplift in the past day. Since April 11, TON’s valuation has experienced a stagnant phase, not distinctly favoring either a downward or upward trajectory.
After reaching a peak at $7.659, TON's valuation took a 19.16% hit. During this time, the token's price primarily oscillated between $71.30 and $5.411.
For TON to enter a phase of pronounced bullish growth, it would need to revisit and surpass the $7.659 mark in the coming periods.
A considerable surge in bullish energy would be necessary for such a breakthrough.
As of now, the Relative Strength Index (RSI) for the TON token has climbed to 54.31, suggesting a mild bullish influence, though not potent enough to significantly alter its market price.
The Chaikin Money Flow (CMF) index has also increased to 0.10, indicating a rise in investment inflow into TON.
The token's attraction to new investors could additionally influence TON’s market journey.
An analysis by AMBCrypto, referencing Santiment’s findings, showed a downtrend in network growth, highlighting that newer entrants were interacting with TON less than before.
Moreover, trading velocity for the token decreased, indicating a drop in trading frequency for TON. This could potentially slow TON's upward momentum in the future.
Network Dynamics
An additional element affecting TON's price movement is the current condition of its network. Under AMBCrypto's review of data from Artemis, network activity has significantly diminished recently.
Transaction numbers on the platform dipped from 8.2 million to 4.3 million. Concurrently, the daily active addresses on the network decreased from 500,000 to 320,000.
