Toncoin (TON) has been under substantial bearish pressure, mirroring the overall cryptocurrency market downturn. The altcoin has experienced a significant price decline, and technical forecasts are not optimistic, indicating the possibility of a Death Cross forming.
The Death Cross, a bearish pattern where the 50-day EMA crosses below the 200-day EMA, signals the likelihood of a prolonged downtrend for Toncoin. Current price movements already reflect bearish sentiment, suggesting a further significant price drop could be imminent.
Further cross-analysis using the Network Value to Transactions (NVT) Ratio reinforces the bearish outlook for Toncoin. TON's inflated NVT Ratio, at a seven-month high, indicates the network's value may be overestimated relative to its transaction volume, pointing to potential price corrections.
The technical trend predicts TON's price could fall below the significant $4.86 support level, potentially reaching $4.61, marking an 11% drop and a monthly low. The continuation of this bearish trend heavily depends on whether TON can maintain support above $4.86 or if the general market sentiment improves.
However, if TON stabilizes and the market conditions become favorable, the altcoin might recover, reversing the bearish trend by converting the $5.37 resistance into support, possibly recovering the recent 13% decline.
