Toncoin Technical Indicators Point to Potential Downside
Toncoin has recently experienced a gradual decline in momentum on the 4-hour chart, with closing prices fluctuating in a tight range between $5.42 and $5.49. The price action suggests indecision among traders, as Toncoin struggles to break above key resistance levels while maintaining a fragile hold on its support zones. A deeper dive into the technical indicators on the 4-hour chart reveals a more bearish outlook, hinting at potential downside movements in the coming sessions.
Toncoin Price Prediction
Looking at the exponential moving averages (EMAs), the 9-period EMA has consistently trended below the 20-period EMA over the last few sessions. This is a classic bearish signal, suggesting that the short-term trend may be losing steam. With prices failing to close above the 9 EMA, currently around $5.50, this further solidifies the notion that bears may continue to dominate the market unless Toncoin can gather sufficient upward momentum.
The Moving Average Convergence Divergence (MACD) indicator paints a similar picture of weakening momentum. The MACD line has crossed below the signal line, generating a series of negative histograms. This indicates that selling pressure is intensifying, and the bulls are struggling to regain control. Although the MACD histogram is decreasing, it still points to a bearish bias, meaning a continued downward trajectory could be on the horizon.
Additionally, the Relative Strength Index (RSI) sits in the low-to-mid 40s, indicating that Toncoin is neither overbought nor oversold. However, the RSI is leaning more toward bearish territory, which suggests that the market still has room to decline before reaching oversold conditions. This opens up the possibility of further price drops, particularly if key support levels fail to hold.
Key Levels to Watch
From a levels perspective, Toncoin faces immediate resistance at $5.529 and $5.562. If the bulls manage to push prices higher, breaking through $5.562 would shift market sentiment in favor of a potential bullish reversal, with the next target being the $5.608 level. On the downside, support can be found at $5.373, with a more significant level at $5.279. A break below $5.279 would likely accelerate the selloff, driving prices closer to the $5.265 mark—a critical support level that could determine whether further bearish momentum unfolds.
Also read: How to Buy Base Crypto: A Step-by-Step Guide for New Investors
For traders, the current setup suggests caution. Long traders might consider entering positions if Toncoin breaks above $5.562, with potential exits around $5.608 or higher. On the flip side, short traders could look to capitalize on a break below $5.373, targeting $5.279 or even $5.265. As always, appropriate stop losses should be used to manage risk effectively, especially in a volatile market like Toncoin.
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Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Ecoinimist is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
