The messaging app, reaching hundreds of millions of users, achieves massive daily active user numbers. This app is also heavily used by cryptocurrency investors. It was expected that the steps this app would take towards crypto would have such significant results. Indeed, Telegram-supported TON Coin recently reached its highest level of the year.
TON Coin
On June 6, before the BTC decline began, the TON Coin price rose to the 2024 peak level of $7.54. The steady rise was related to the support of NOT Coin and the long-term benefits Telegram could provide to the project. While investors’ motivation is not unjustified, the risks arising from the supply distributed to a small number of wallets, as we have mentioned many times before, cannot be ignored.
Currently, the TON Coin price hovers around $7.03. The price, which fell by 7% after the record level, indicates something with the weakening in the number of daily active addresses and new addresses.
The price, which increased with the strong momentum in network activity, pulling back with on-chain decline signals, is discouraging. The drop in active addresses is 10%, and the creation of new addresses has decreased by nearly 20%. If the price pulls back along with the decline in user demand, a deeper correction risk appears here.
TON Coin Price Prediction
RSI confirmed the selling pressure, approaching the neutral zone, and fell to 58. The price, fluctuating within the rising channel since May, must continue to make higher highs and lows if it wants to maintain the trend. However, as activity weakens, deeper lows have started to threaten this structure.
TON Coin found support at $6.8, and we may see a pullback here from $7.03 initially. MACD is giving a bearish signal, and it will not be surprising for the TON Coin price to drop to $6.41 in case of closes below the support. If the bulls can hold the price around $7, a recovery might be seen with new steps TON Coin takes or movements on the NOT Coin front.
For now, it may be beneficial for investors to consider the risks of significant negative movements that may occur until and after the upcoming Fed meeting and to set their stop zones well.
