Toncoin price has recorded significant gains over the past few weeks despite the decline in cryptocurrency market sentiment. Assets are up more than 57% year to date and nearly 26% in the past week. Nonetheless, Toncoin remains 13% lower so far this year. Toncoin’s overall market cap has risen to $6.5 billion over the past few days, putting it in 11th place.Day In the cryptocurrency market.
What is Toncoin?
Toncoin is a decentralized layer 1 blockchain created by brothers Nikolai and Pavel Durov and later developed by the encrypted messaging platform Telegram in 2018. The project was acquired by the TON Foundation and later renamed from “Telegram Open Network” to “The Open”. Toncoin utilizes a proof-of-stake consensus model network for stability and scalability and to validate transactions.
Developers focus on scalability, efficiency, and mass adoption. The network offers ultra-fast transactions, confirming and processing a huge number of transactions per second. The TON Network offers several services, including the TON Wallet, a built-in wallet feature designed to transfer funds and interact with platform services. According to the TON website, the platform provides customers with fast, transparent and secure payment services.
TON’S PERFORMANCE
Cryptocurrency markets have been moving slowly over the past few days, with Bitcoin, the leading cryptocurrency, struggling below the critical level of $26,000. On the other hand, Toncoin price continues to defy current market movements and recorded significant gains over the past week. Toncoin has been one of the best-performing altcoins over the past few days, with major altcoins like Ethereum and XRP succumbing to general market sentiment.
The value of the digital currency has increased by more than 35% over the past week, according to data from CoinGecko. Increasing developer activity on the Toncoin network has buoyed the upward trend in asset performance. The number of monthly developers actively participating in the proof-of-stake blockchain has increased by more than 40% since the beginning of the year, increasing demand for the token.
Despite the decline in the number of TON whale transactions, TON’s exchange supply has surged over the past two weeks. During that period, the total volume of Toncoins on exchanges increased by more than 15%. The confluence of these factors has reignited bullish momentum for the asset after a difficult summer.
Toncoin price technical analysis
Looking at the daily chart, we can see that Toncoin price has been strong over the past few weeks, jumping to its highest level since May 2023. The asset has 50-day and 200-day exponential moving averages as well as 50-day and 100-day simple moving averages. The relative strength index (RSI), which measures the balance between buying and selling pressure on an asset, is in overbought territory at 74.
Therefore, Toncoin price is likely to move higher in the next session as bulls eye the important resistance level of $2.00. If this happens, the next resistance level to watch would be $2.2290. However, a move below the 200-day EMA $1.680 would invalidate my optimism and take the price lower to the next support at $1.500.