Hey Binance Square family! š
Toncoin (TON) is currently trading at $3.43, experiencing a slight dip of -1.96% over the past 24 hours. Despite this minor pullback, TON has demonstrated impressive strength recently, bouncing over 40% from its local low near $2.35 two months ago. Let's delve into the technical landscape to understand the potential movements ahead.
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š Technical Overview
1. Descending Wedge Breakout
TON recently broke out from a descending wedge pattern, a bullish reversal signal, leading to a significant price surge. This breakout was accompanied by increased trading volume, adding conviction to the move.
2. Fibonacci Retracement Levels
The price is currently hovering around the 0.618ā0.786 Fibonacci resistance band ($3.31ā$3.43). A decisive move above this zone could pave the way for further gains.
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š Key Technical Indicators
Relative Strength Index (RSI): The RSI on the 4-hour chart is at 56, indicating healthy momentum.
Moving Average Convergence Divergence (MACD): The MACD lines have crossed bullishly, and histogram bars are green, supporting the bullish trend.
Bollinger Bands: The bands are expanding, suggesting increasing volatility and the potential for significant price movement.
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š Support and Resistance Levels
Immediate Support: $3.25, aligning with previous resistance turned support and the 0.5 Fibonacci retracement level.
Next Support: $3.12, coinciding with the 200 EMA on the 1-hour chart.
Resistance Levels: $3.43 (current level), followed by $3.54 and $3.70. A break above $3.70 could open the door toward the $4.00 psychological level.
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š§ Trading Strategy
Long Position: Consider entering upon a confirmed breakout above $3.43, targeting $3.54 and $3.70.
Stop Loss: Place a stop loss below $3.12 to manage risk.
Take Profit: Implement a progressive take-profit strategy by scaling out at each resistance level to secure gains.
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ā ļø Disclaimer
This analysis is for informational purposes only and does not constitute financial advice. Always conduct your own research and consult with a financial advisor before making trading decisions.
Happy trading! šš
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