TON price rose almost 15% and traded above the USD 6.50 resistance. Toncoin is now showing some signs of trend exhaustion and could correct gains.
- Toncoin jumped above the USD 6.20 and USD 6.50 resistance levels.
- The price is now trading above $6.50 and the 100-hourly Simple Moving Average.
- A major parabolic curve is forming with support at $6.80 on the hourly chart of the TON/USD pair (Kraken data source).
- The pair could start a downward correction if it falls below $6.80 and $6.60.
TON price reaches $7
Recently, TON price started a strong rise from the USD 5.60 support zone. It climbed above the USD 6.20 resistance zone. It gained almost 15% in a day, outperforming Bitcoin and Ethereum.
Toncoin was trading near the USD 7.00 level. It reached a high at $6.93 and the price is now consolidating gains. It is trading near the $6.80 zone and well above the 100-hour Simple Moving Average. An important parabolic curve is also forming with support at $6.80 on the hourly chart of the TON/USD pair.
The immediate resistance is near the $6.92 level. The first major resistance is near $7.00. A close above the $7.00 resistance zone could lead to a strong upside.
Source: TONUSD on TradingView.com
The next major resistance is near USD 7.20. If the bulls continue to act above the USD 7.20 resistance level, a rally towards the USD 7.55 resistance could take place. Any further gains could send the price towards the USD 8.00 resistance.
Downward correction in Toncoin?
If Toncoin price fails to break the USD 6.90 resistance zone, it could trigger a downside correction. Initial support on the downside is near the $6.80 level and the parabolic curve, below which the price hits the 23.6% Fib retracement level of the upward move from the $5.61 swing low to the $6.93 high could test.
The next major support is $6.25 or the 50% Fib retracement level of the upward move from the $5.61 swing low to the $6.93 high. If there is a downside break and a close below the USD 6.25 level, the price may accelerate lower. In the said case, the price could retest the USD 6.00 support zone.
Technical indicators
Hourly MACD – The MACD for TON/USD is now losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for TON/USD is now above the 70 level.
Major support levels – USD 6.80 and USD 6.60.
Major resistance levels – $6.90 and $7.00.