Toncoin (TON), the native token of the Toncoin Network, is defying the broader crypto market correction. Despite a recent dip, TON remains above $6.74, showcasing resilience and hinting at a potential rebound towards $10.
This bullish outlook stems from several factors. Firstly, TON is trading above a key support level—the 23.6% Fibonacci retracement level—which signals a strong buying zone. This zone is further reinforced by the 50-day Exponential Moving Average (EMA) and an ascending trendline, creating a confluence of technical support.
However, the market isn’t entirely rosy. The recent sell-off saw leading cryptocurrencies like Bitcoin and Ethereum plunge by 4%, dragging the overall market sentiment down. Toncoin wasn’t immune, experiencing a 3.77% drop.
Adding to the uncertainty are rising phishing attacks targeting the Toncoin Network. These attacks leverage the open nature of the Telegram ecosystem, employing phishing links, fake airdrops, and malicious bots within message groups to steal user assets from TON wallets.
This vulnerability, particularly concerning Anonymous Telegram Numbers used for account creation, has the potential to erode investor confidence in the TON ecosystem’s security, impacting token prices.
Despite these challenges, TON maintains a mid-term uptrend on the daily chart, supported by the ascending trendline. This trendline is likely to be retested after the recent dip, offering a potential buying opportunity for investors seeking to capitalize on the rebound.
Further bolstering the bullish case is the Toncoin Network’s impressive Total Value Locked (TVL) growth. According to DefiLlama, TVL on the network surged by a staggering 96.56% in June, reaching $646.5 million. This upswing in TVL reflects growing network adoption by market participants, which could translate to increased demand for TON tokens.
Technically, the coin price trading above the 50, 100, and 200-day EMAs indicates a bullish bias. However, the Relative Strength Index (RSI) hovering around the 50% mark suggests neutral sentiment among traders.
In conclusion, Toncoin appears well-positioned for a potential rally towards $10. The confluence of technical support, a robust network with surging TVL, and a potential buying opportunity at the retested trendline paint a promising picture. However, investors should remain cautious of the ongoing market correction and the rising threat of phishing attacks within the Toncoin ecosystem.
