TON projected to fall below $6 next week: true or false?
Over the past week, Toncoin's [TON] market influence has seen a heavy shift towards bearish tendencies, with continuous dips painting the price charts red.
This recent decline signals a bearish momentum, causing TON's value to fall from a crucial resistance point, a move that could have otherwise ignited a bullish upswing.
Toncoin Bears Take the Lead
According to CoinMarketCap, the bearish sentiment around Toncoin is palpable, as its value saw a decrease of around 3% in the preceding 24 hours.
At this juncture, TON's trading value stands at $6.31, accompanied by a market capitalization exceeding $21.9 billion.
Although displaying a bullish facade, the price movement of the token is currently navigating through a bullish falling wedge pattern.
A noted cryptanalysis platform, World of Charts, took to Twitter to shed light on this scenario, pinpointing TON's price proximity to the upper boundary of this pattern.
The tweet speculates that a successful pattern breach could potentially unleash a 25% price rally for TON.
Yet, the present trajectory seems to imply a hesitation in crossing above. Thus, AMBCrypto delved into Toncoin's on-chain activity for a clearer perspective on its future direction.
Predictions for TON's Trajectory
Delving into Sentiment's data through AMBCrypto's analysis revealed a spike in TON's Exchange Inflow over the recent week, signifying mounting selling pressure.
Complementary to this, a reduction in both the token's Supply on Exchanges and its Velocity highlights a significant sell-off trend. It illustrates a dwindling frequency of TON transactions within a designated period.
An additional bearish signal came from the MVRV ratio, which experienced a downward trend in the last few days.
An examination of TON's daily chart by AMBCrypto unveiled several bearish symbols, not least a sharp decline in the Money Flow Index (MFI).
The Relative Strength Index (RSI) mirrored this downturn, underlining the likelihood of the bearish trend persisting.
Should this bearish momentum continue, investors might see TON's value approach $5.9 soon, where significant support lies. Falling below this threshold could diminish TON's value to $5.3-$5.
However, a reversal in this trend, propelling TON above the falling wedge, could set the stage for reaching new peaks.
AMBCrypto had previously speculated on the potential for TON's price to hit the $10 mark soon, indicating optimism amidst prevailing skepticism.
