The price of TON is dropping by 7% in a context of selling related to Musk's dispute with Telegram, while the partnership with xAI continues.

Despite the denials, Telegram CEO Pavel Durov stated that the agreement has been 'principally agreed' and that 'formalities are pending.'

What he:

  • Toncoin (TON) has fallen by more than 7% in the last 24 hours and about 17% after a partnership between Telegram and Elon Musk's xAI was denied by Musk.

  • Despite this denial, Telegram CEO Pavel Durov stated that the agreement had been 'principally agreed' and that 'formalities are pending.'

  • The price of TON is now closely monitored, with key levels located between $3.00 and $3.22, and a break below or above this range could indicate the next move.

TON experienced a sharp drop in the last 24 hours, losing over 7% from $3.319 to a low just below the $3 mark after enthusiasm around a supposed partnership between Telegram and Elon Musk's xAI shifted direction.

The plunge follows the one that began shortly after Telegram CEO Pavel Durov hinted at a collaboration with xAI, Elon Musk's artificial intelligence company.

Speculation drove the price of TON up to a peak of $3.65, but a quick denial from Musk caused it to drop after the CEO of X stated that the contract has not yet been signed. TON has since lost 17%.

Markets seem to be pricing in the failure of what could have been a major integration involving Telegram's 700 million users shortly thereafter, almost canceling out all gains recorded by TON.

Despite this setback, Durov quickly responded that the agreement has been 'principally agreed' and that 'formalities are pending.' TON is the native token of The Open Network, closely associated with Durov's messaging app.

The fundamentals of TON continue to evolve. Telegram is rolling out integrated payments based on TON, offering users a way to send cryptocurrencies like messages.

This exposure, although long-term, positions TON as one of the few projects with potential access to a major consumer user base.

Price levels between $3.00 and $3.22 are now key points to watch. A break below or above this range could signal the next move, especially in light of on-chain data showing a significant concentration of wallets around $3.24, where nearly 740 million tokens are held across 1.21 million addresses, according to crypto analyst Ali Martinez.

Telegram raised $1.7 billion this week through convertible bonds. The company plans to use $955 million to buy back existing bonds and to fuel its growth with the remaining $745 million.

Detailed technical analysis

  • TON experienced massive selling, with volume surging to over 10.6 million in a single hour, nearly tripling its average volume.

  • Buyers stepped in at the $3.00 level, helping the token recover to $3.086, forming a V-shaped rebound.

  • A temporary resistance formed at $3.22, while a bullish momentum pushed the token above $3.08 during an intense surge.

  • The open interest in TON perpetual futures rose by 33% to reach $190 million, its highest level since February, indicating that traders are preparing for increased volatility.