Toncoin (TON) appears to be having a hard time, even though significant buyers, or “whales,” have been buying and selling it lately. For those who study cryptocurrency, the price might break through a key support level because the technical signs are getting worse.
A CryptoQuant expert named Joao Wedson just wrote a report about how whale activity on the Toncoin network has grown a lot. In the past few weeks, deals worth more than 100,000 TON, which is about $645,000 today, have been made. These deals are worth more than $1 billion. But this rise shows that they are moving a lot of TON. It’s still not clear what the major purchasers want to do.
Wedson said that the substantial trades (more than half of the network’s volume) did not impact the price of Toncoin very much. A lot of the action, though, is made up of small deals that only make up a small part of the total volume.
Toncoin Faces Bearish Indicators
Toncoin’s price has been going down even though whales are busy. The 20-day Exponential Moving Average (EMA) of TON was recently broken below. This is a key sign of short-term trends. The average price of TON has been going down for the last 20 days, as shown by this decline. This makes it more important to sell.
Moving Average Convergence Divergence (MACD) is about to go below its zero line, which makes things look even worse. Most of the time, when the MACD line falls below its warning line, it means that the price is losing steam and could go down.
These technical signs raise red flags for Toncoin. If the price falls below the stable bottom line of its ascending channel, it’s possible that it will soon drop to $5.70.
It is challenging to do business the way things are now. Even though there is a lot of whale action, which could mean that people are interested in going up, the technical signs are not favorable.
The important question is still whether are the whales getting closer together or farther apart? It could mean that now is a good time to buy before prices go up again if there is building. But if whales are selling their catch, things might not go well for Toncoin in the future.
