Toncoin (TON) Price Prediction: Run to $7 Delayed as the Altcoin Flashes Bearish Signs

For most of the week, the Toncoin (TON) price remained range-bound at $5. This movement contradicts previous signals that the altcoin's value would trade much higher.

Toncoin (TON) price encountered a roadblock in its recent rally, as key on-chain metrics signaled a potential slowdown in the altcoin’s ascent. Here's how these indicators pointed to a pause in the TON rally.

Toncoin’s Daily Active Addresses (DAA) showed a sharp decline of 138.59% over the past 24 hours. This drastic drop indicated a significant decrease in the number of active users interacting with the TON blockchain.

According to data from Santiment, this rapid decline suggested that many traders who actively bought and sold the token yesterday had retreated, which could lead to a bearish outlook for the TON price in the short term.

Moreover, Network Growth, which measured the rate of new user adoption on the TON network, also played a role in this pause. This metric indicated the rate at which new addresses were completing their first successful transactions on the blockchain.

An increase in Network Growth signaled a surge in new users joining the network, which often preceded a rise in the cryptocurrency’s price. However, in TON's case, this metric showed a decline, suggesting that the network might experience a brief pause in its growth, which could precede a slight dip in the token's price.

A glance at the TON/USD chart revealed that the Chaikin Money Flow (CMF) had plunged drastically. This indicator was designed to highlight periods of accumulation and distribution in an asset's price.

A CMF reading above the zero line indicated that the cryptocurrency was experiencing a net accumulation, while a reading below zero signaled that the distribution was stronger.

As seen below, the CMF was at -0.22, suggesting that Toncoin faced a high level of selling pressure. If this selling continued, TON’s price might drop below the $5.05 support and hit $4.69.

On the other hand, if the bears lost their momentum, the bulls could capitalize on this fatigue. In this scenario, buying pressure might become stronger, and TON's price could rise toward $6 or as high as $7.

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