Ton coin Price Prediction: Indicators Point To Recovery

As seen on the broader market, Ton coin ($TON) has recently been dealing with a challenging environment.

However, analysts are looking for a potential turnaround after a substantial price fall.

According to the latest data, Toncoin has dropped by over 1% in the past 24 hours. Technical indicators indicate a change in momentum in play, which predicts a short to medium-term recovery.

Ton coin Technical Indicators Show Early Signs of Reversal

A buy signal can be observed as indicated by the TD Sequential on the daily charts. This means the digression in the price may be relieved.

This means we might have a recovery on the test. The TD Sequential counts the number of consecutive candles in a specific direction.

When “9” is formed, the market is usually ready for a reverse. Technical interpretation of this particular signal is pronounced in the case of a sequence of long red candles.

This is seen on Ali’s chart. After a sequence of red candles, it may indicate that the pressure to sell is ceasing.

It is clear that since the end of March, Toncoin’s price has been in a steep downtrend.

This is shown with a string of black (bearish) candles taking over the daily chart. The price decrease was accompanied by more volatility.

This is often seen in market corrections. However, more recently, the last formation of the candles is indicative that the price action is starting to stabilize.

Most recent candles are small-bodied and, therefore, less bearish. If true, the downward pressure may weaken, and with TD Sequential now signaling a buy, there may be a chance of a rebound.

Toncoin Struggles in the Last 24 Hours

While Toncoin (TON) got a positive signal from TD Sequential, the token hasn’t been able to push deeply in the last hours.

As per CoionMarketCap, the cryptocurrency is trading at $2.86, down by 1.78% over the last 24 hours.

During this period, the market had stiff resistance, and the price tentatively peaked at $2.91.

This is before dropping to the current value. Therefore, although there’s been some bullish activity in Ton coin, it’s still unable to breach the resistance levels.

There is caution among market participants and reluctance among investors with respect to adopting big positions.

This is closely reflected by the price action and very low trading volume, which indicates very little activity.

The 24-hour trading volume is $178.44 million, with a 14.62% increase in the last 24 hours.

Due to this, we could say there is some interest in the asset but not so much if this isn’t enough to push за a strong rally.

Despite relatively small price movements, the absence of Toncoin’s reversal of recent decline could hint that it stays in the consolidation phase.

Falling Wedge Pattern Points to a Potential Breakout

Besides the TD Sequential buy signal, we also see the falling wedge pattern on 4-hour charts.

The price tends to break out when it reaches the apex of the falling wedge, a classical bullish reversal pattern.

Typically, this would mean reduced volatility and likely potential shifts as the price continues to form lower and lower highs in this pattern.

In the 4-hour chart, Ton coin has been moving range-bound, and lower highs and higher lows create a falling wedge pattern.

Consolidation of this type usually comes before a breakout to the upside. This is when the pattern is created in a bearish market.

For Toncoin, this breakout from this wedge could result in a target price between $3.10 and $3.20. That stands for a potential upside of 10% to 15% on the price of $2.86 per share.

Falling wedges are usually regarded as bullish, but they are far from foolproof. To signal success, Toncoin would need to break out of the upper boundary of the wedge with high volume.

What Ton Coin Needs For Breakout

A continued ceiling would also be required. If Toncoin breaks out from this pattern, it will be set up for recovery from here.

On the other hand, we also see that the Awesome Oscillator has been struggling to move to the positive region.

This shows that bulls are applying much pressure on the market as they try to turn things around.

A reversal looks likely for Ton coin soon, based on the technical aspects. A potential rebound is displayed from both the TD Sequential buy signal and the falling wedge pattern.

However, Toncoin must break through key resistance levels to signal such a move. While Ton coin is still down 1.78% in the last 24 hours and consolidation, the coin is still struggling to find chart impetus.