Toncoin (TON) is currently just 2.5% away from reaching its all-time high (ATH) after surpassing Dogecoin to claim the 8th position in market capitalization. This significant achievement raises the question: Will Toncoin surge to a new ATH?
Surge Despite Market Conditions
Toncoin has experienced remarkable gains this year, starting at $2.3 and reaching $8.03, only 2.58% shy of its ATH of $8.24 set two weeks ago. This surge is notable as it comes during a period of neutral investor sentiment, as indicated by the Fear and Greed index.
Overtaking Dogecoin
Previously ranked 9th on Coinmarketcap, Toncoin has now overtaken Dogecoin, which has struggled at $0.1238 with a market cap of $17.94 billion. Toncoin’s market cap has surged to $19.75 billion, largely due to a 5% gain in the last 24 hours, propelling it past Dogecoin.
Reasons Behind Toncoin’s Rise
Several factors have contributed to Toncoin’s rise. The decline in Bitcoin dominance from 54.4% to 53.4% has allowed altcoins, including Toncoin, to gain traction. Additionally, the Kazakhstan Exchanges began trading Toncoin following approval from the Astana Financial Services Authority (AFSA). This approval is linked to recent interactions between Telegram co-founder Pavel Durov and Kazakhstan’s Minister of Digital Development and Innovation, Ahaslan Madiev.
Moreover, venture capital firm Pantera Capital has increased its investment in Toncoin, further boosting demand. The ongoing investment round for Toncoin requires a minimum stake of $250,000 per participant.
Will Toncoin Hit a New ATH?
Technical indicators and moving averages suggest a strong buying zone for Toncoin. The daily chart’s moving averages (5, 10, 20, 50, 100, 200) show buyer dominance. Technical indicators such as MACD, STOCH(9,6), Bull/Bear Power(13), and Highs/Lows(14) support this trend. However, STOCHRSI(14) and Williams %R indicate overbuying, which could limit further gains.
The Relative Strength Index (RSI) at 63.285 signals buyer dominance but is close to the overbuying zone, potentially leading to a trend reversal. If the price crosses the support at 7.9772, a decline may follow. For now, the bullish trend favors Toncoin, and it might achieve a new ATH.
