Toncoin Price Prediction – Will TON Price Drop $7 Now After Bitcoin’s Recent Rise?

• TON price has been stuck in a tight range below $7.
• Can the altcoin break out of the sideways trend?

Since mid-August, Tonquin [TON] Bitcoin has been trading in a tight price range. It was the positive bounce on Friday that saw [BTC] TON price did not make much movement on the price charts, instead it remained stuck in the range of $6.4 and $7 price levels.

However, given the improved crypto market sentiment over the weekend, what levels should TON traders be wary of?

Will TON break from the sideways trend?

Source: TON/USDT, TradingView

On higher time frame charts, the 200-day SMA has been a key price rejection level, three times since mid-July. This makes it a key dynamic resistance level. At the time of writing, the dynamic resistance level is in line with the 38.2% Fibonacci level ($7).

In short, the $7 level remains a crucial resistance level for traders in the near term. As a result, the price chart readings are leaning towards a possible extension of the sideways structure. This outlook is further illustrated by the volatile demand, as evidenced by the RSI oscillating between neutral and 60 levels.

However, the recent price action has also marked a local bottom, with the 200-day SMA acting as neckline resistance. The pattern is a typical bullish formation, and a potential breakout could push TON to the 23.6% Fibonacci level ($7.45). If bulls hit the target, it would be an additional 7% gain.

Key objectives based on liquidity groups

Source: Coinglass

According to Coinglass liquidity data, TON had major liquidity clusters (bright orange levels) at $7.3, $6.3, and $6.0. There was more liquidity above $6 than at $7.3. These levels could be major inflection points for the price. The location of liquidity on either side of the price action also supported the idea of ​​a sideways structure.

Reads Tonquin [TON] Price prediction 2024-2025

Finally, TON network activity has been slowing down, as indicated by the near-flat activity addresses since August 17. Slow network activity indicates a lack of user interest in the altcoin, which could undermine a strong recovery.

Source: IntoTheBlock

However, a prolonged rise in Bitcoin could boost the value of TON, invalidating the above-mentioned neutral outlook. So, it is also worth following the movement of the main coin.

Disclaimer: The information provided does not constitute financial, investment, trading or any other type of advice and is solely the opinion of the author.