Toncoin surges 27%, breaks resistance: Is $9 next for TON?

Toncoin surged over 27% after breakout from the symmetrical triangle.
Large leveraged TON positions risk liquidation at $5.85 and $6.32.

As a seasoned analyst with years of market experience under my belt, I find myself intrigued by Toncoin’s [TON] latest surge. The breakout from the descending triangle pattern has been a sight to behold, and it’s always fascinating to witness such shifts in market dynamics that can turn a bearish trend into a bullish one.

Toncoin (TON) saw a significant rise, trading approximately 27% higher than its breakout point from a falling triangle formation. This suggests that the price might be reaching a temporary peak around the $6.32 mark, indicating a possible local top.

The rise out of the previous downward trend, which had kept its value low, signified a major change in market behavior patterns.

As TON broke through its downward-sloping trendline, which had previously been marked by consistently lower peak prices, this action signaled a shift from a bearish to a bullish market outlook.

A massive green wax figure (or wick) demonstrated strong investor demand, signifying a significant jump in worth over a short span of time.

Currently, Toncoin is exploring fresh price heights due to its surge, with the Moving Average Convergence Divergence (MACD) showing a positive crossover, which typically indicates a bullish trend and suggests potential for continued growth in its value.

If TON continues to uphold its current support, this ongoing technical strength may propel the price towards around $9, enticing additional traders to profit from its recently established bullish trajectory.

This scenario beckoned the question: Can TON sustain this rally?

TON liquidation heatmap

As an analyst, I’ve observed significant fluctuations in the TON/USDT pair, particularly near crucial liquidation points.

If a large leveraged position costs $6.50, there’s a possibility of getting liquidated, which could influence the price trend towards certain areas given the significant liquidity involved. Specifically, holdings worth approximately $915,000 and $701,000 were at risk when prices were at $5.85 and $6.32 respectively.

The market’s liquidity chart indicates that specific regions may offer significant resistance or aid, contingent upon whether investors choose to reduce their losses or take advantage of reduced prices instead.

The heatmap clearly displayed these areas as dense liquidity zones, using different color bands.

This arrangement indicates that TON might bounce back from these price points or dive beyond them should selling pressure intensify. Therefore, these levels are crucial for traders to monitor closely.

These insights proved crucial for market players who wanted to successfully maneuver the complexities of leveraged trading in unpredictable market conditions.

Active addresses by profitability

Moreover, a large number of TON holders experienced gains, as around 32.64% of accounts were ‘In the Money’. This equates to approximately 298,000 accounts, suggesting a generally optimistic outlook that could potentially lead to price surges.

Read Toncoin’s [TON] Price Prediction 2024–2025

Approximately two out of every three owners (66.71%) are currently at the breakeven point with their investments in TON, indicating a possible price volatility. Since they’re at the break-even point, these investors may decide to sell as prices increase or hold on for potential future profits. This could significantly impact TON’s ability to reach targets like $9.

Approximately 99.35% of the holders aren’t currently at a point where they would need to sell due to their positions being ‘Out of the Money’. This heavy concentration of non-pressured sellers could foster growth, as they may not feel compelled to quickly offload their assets. As a result, there’s a possibility for a steady increase in value towards $9.

2024-11-25 23:36

TON liquidation heatmap

Active addresses by profitability

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