Hello Binance Square family! 👋
Toncoin (TON) is currently trading at $3.43, with a slight decline of -1.96% over the past 24 hours. Despite this minor pullback, TON has shown impressive strength recently, rising over 40% from a local low near $2.35 two months ago. Let’s explore the technical landscape to understand potential future moves.
---
📈 General technical outlook
1. Descending wedge breakout
Recently, TON broke out from a descending wedge pattern, indicating a bullish reversal, leading to a significant price increase. This breakout was accompanied by an increase in trading volume, adding conviction to the move.
2. Fibonacci retracement levels
The price is currently oscillating around the Fibonacci resistance range of 0.618–0.786 ($3.31–$3.43). A decisive move above this area may pave the way for additional gains.
---
🔍 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 the histogram bars are green, supporting the upward trend.
Bollinger Bands: The bands are expanding, indicating increased volatility and the possibility of a significant price movement.
---
📊 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 breakout above $3.70 may open the door towards the psychological level of $4.00.
---
🧠 Trading strategy
Long position: Consider entering on a confirmed breakout above $3.43, targeting $3.54 and $3.70.
Stop Loss: Set a stop loss below $3.12 to manage risk.
Take profit: Implement a gradual take profit strategy by exiting at each resistance level to secure gains.
---
⚠️ Disclaimer
This analysis is for informational purposes only and does not constitute financial advice. Always do your own research and consult a financial advisor before making trading decisions.
Happy trading! 🚀📈
---