Despite a bearish trend, the potential for a bullish reversal is resurfacing near the $4.65 support zone for Toncoin. Could this lead to a breakout rally towards $6?
With increased bearish pressure, Toncoin has returned to the crucial support zone around $4.65. As bearish dominance suggests a negative crossover in the EMAs, the risk of a breakdown rises.
Will Toncoin bounce back from the $4.65 support zone to fly past the overhead trendline? Let’s find out.
Toncoin Nears Triangle Breakout
The Toncoin is maintaining a declining trend in the daily chart and is under immense bearish pressure. However, despite the pressure, the crucial support at $4.65 holds the TON price firm.
The demand zone at $4.65 coincides with a descending triangle pattern. The increasing bearish influence has resulted in a death cross event between the 50-day and 200-day EMAs.
Moreover, the 100-day and 200-day EMAs are approaching a bearish crossover. This adds to the bearish signals, with the MACD and signal lines aligned in the negative territory, showing a gradual trend in negative histograms.
Overall, the daily chart for Toncoin presents an extremely bearish outlook. However, the underlying dynamics at the critical support level of $4.65 suggest the possibility of a bullish comeback.
The daily RSI line indicates a bearish divergence as Toncoin finds support near the demand zone. With an intraday gain of 0.41%, Toncoin is currently trading at $4.84, hinting at a potential bullish recovery.
Will Toncoin Reclaim $6?
As Toncoin approaches the apex of the descending triangle pattern, the likelihood of a high-momentum move increases. If broader market conditions improve after the U.S. elections, Toncoin could surpass the 20-day EMA, which aligns with the overhead resistance trendline.
According to price action analysis, a triangle breakout rally may encounter resistance near the $5.33 level before reaching the psychological mark of $6. A successful breakout could further enhance the chances of Toncoin climbing to $8.18.
On the flip side, a breakdown below $4.65 would test the $4.34 level before potentially reaching the psychological support at $4.00.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
Source: https://thecryptobasic.com/2024/11/04/will-toncoin-ton-hold-at-4-65-trigger-a-triangle-breakout/?utm_source=rss&utm_medium=rss&utm_campaign=will-toncoin-ton-hold-at-4-65-trigger-a-triangle-breakout