🌎 Toncoin Price Drops Despite Improved On-Chain Data

Toncoin Under Pressure Despite Improved On-Chain Data

Toncoin continued to struggle, losing over 5% of its value as the broader cryptocurrency market rebounded. Despite its poor performance, the TON Blockchain’s on-chain data has shown significant improvements. As of Saturday, Toncoin was trading at $5.35, down by more than 35% from its highest level last year.

On-Chain Data Shows Promise

According to recent data, the number of daily on-chain wallet activations on the TON Blockchain has risen to 185,395, the highest increase since December 13. This surge has brought the total number of on-chain activated wallets to over 38.8 million. Additionally, the number of TON tokens burned each day has started to rise, with almost 12,000 tokens burned, the highest level since November last year.

Furthermore, the amount of fees collected in the TON ecosystem has risen to 23,790 TON, the highest gain in almost a month. This increase in fees is a positive sign for the ecosystem, indicating increased activity and adoption.

Pressure on Toncoin Price

Despite the positive on-chain data, Toncoin’s price is likely being pressured by the poor performance of its top ecosystem tokens. Some of the most popular tokens, such as Hamster Kombat, Notcoin, and Catizen, have all plunged by double digits, contributing to the downward pressure on Toncoin’s price.

Toncoin Price Analysis

Crypto analysts are broadly bullish on the TON price, citing low volatility and risk metrics as indicators of a potential market reversal. One analyst noted that Toncoin’s annualized realized volatility has dropped below the 0.25 threshold, a sign that periods of low volatility are often followed by market reversals.

Another analyst pointed out that the Normalized Risk Metric is nearing a low-risk period, which is often followed by big swings in price action. The daily chart shows that Toncoin price is forming a symmetrical triangle, indicating a potential bullish pennant pattern.

If Toncoin experiences a bullish breakout, the initial target will be its all-time high of $8.30, up by 55% from the current level. Key factors to watch include:

On-chain data: Continued improvement in on-chain data, such as wallet activations and token burning, could support a bullish breakout.
Volatility and risk metrics: Low volatility and risk metrics could indicate a potential market reversal.
Ecosystem token performance: The performance of top ecosystem tokens, such as Hamster Kombat and Notcoin, could impact Toncoin’s price.