Toncoin (TON) has experienced a notable decline in its price due to several interrelated factors:
1. **Increased Supply on Exchanges**: Over a recent week, the number of TON tokens held on exchanges rose by 7%, reaching approximately 1.6 million tokens. This shift suggests that more holders are moving their assets to exchanges, potentially to sell, thereby increasing selling pressure and contributing to the price decline. citeturn0search3
2. **Decline in Whale Activity**: Large holders of TON, often referred to as "whales," have reduced their net holdings by 143% in the same period. This significant decrease indicates that major investors are offloading their assets, which can lead to uncertainty and fear among smaller investors, further driving the price down. citeturn0search3
3. **Decreased Token Burn Rate**: The daily burn rate of Toncoin has dropped to less than 6,000 coins, representing an 85% decline from a previous peak of nearly 40,000 coins. Token burns, which permanently remove coins from circulation, play a critical role in supporting their value. This decline could weaken price stability due to reduced demand. citeturn0search0
4. **Technical Indicators Pointing to Bearish Trends**: Analysts have observed that Toncoin's price has fallen below key moving averages and the Ichimoku cloud indicator, signaling a bearish trend. If the price breaches the $4.44 support level, it could further drop to $3.90, aligning with the 61.8% Fibonacci retracement. citeturn0search0
These factors collectively contribute to the downward pressure on Toncoin's price, reflecting both market dynamics and investor sentiment. $BNB
