Toncoin (TON) has been struggling recently, with its price falling and testing the $4.45 mark. The coin is currently under a major bearish trend line and faces resistance around $6.00. Yet, the coin has displayed good performance in the last 24 hours. Let's take a look at this Toncoin price prediction article in more detail.
How has the Toncoin (TON) Price Moved Recently?
Toncoin's price is currently $5.04, with a 24-hour trading volume of $594.33 million and a market cap of $12.77 billion, giving it a market dominance of 0.65%. Over the past 24 hours, the price has increased by 6.41%.
Toncoin hit its all-time high of $8.27 on June 15, 2024, and its all-time low was $0.52 on September 21, 2021. Since reaching its all-time high, the lowest price has been $4.47, and the highest has been $5.12. Currently, the market sentiment for Toncoin is bearish, with the Fear & Greed Index showing a level of 26 (Fear).
The circulating supply of Toncoin stands at 2.53 billion out of a maximum supply of 5 billion. The annual supply inflation rate is -26.20%, indicating that 899.15 million TON were minted in the past year.
Why is Toncoin Price UP?
The recent rise in Toncoin (TON) price can be attributed to the TON Foundation's newly launched 5 million Toncoin DeFi incentive program. This initiative aims to boost the adoption of USDt-TON by rewarding liquidity providers in key pools such as TON/USDt, stTON/USDt, and tsTON/USDt on platforms like STON.fi and DeDust.
By incentivizing liquidity provision, the program enhances the token's utility and attractiveness within the DeFi ecosystem, which likely contributes to the positive price movement.
As liquidity in these pools increases, it can drive higher demand and trading activity for Toncoin, potentially leading to further price gains. Additionally, the increased visibility and engagement from such incentive programs can attract new investors and users, further supporting the upward trend in Toncoin’s price.
The recent launch of the 5 million Toncoin DeFi incentive program by the TON Foundation is a significant development with substantial implications for Toncoin's price and market presence.
This initiative aims to boost the adoption of Toncoin (TON) by rewarding liquidity providers in various USDt-TON trading pools, such as TON/USDt, stTON/USDt, and tsTON/USDt, on platforms like STON.fi and DeDust. By incentivizing these liquidity providers, the program is likely to enhance the token’s integration into the DeFi ecosystem, promoting greater use and acceptance among users.
One of the primary impacts of this program is the increase in liquidity within these trading pools. Higher liquidity typically results in smoother trading experiences and reduced price volatility, making Toncoin a more attractive asset for traders and investors.
As more participants are drawn to these pools, the overall trading volume of Toncoin is expected to rise, which can lead to upward pressure on its price. The increased demand from liquidity providers who need to acquire Toncoin to participate in the incentivized pools further supports this price increase.
Additionally, the incentive program significantly boosts Toncoin’s market visibility. As the program draws attention from DeFi enthusiasts and potential investors, Toncoin's profile in the market is elevated.
This increased visibility can attract new users and investors who are interested in the opportunities offered by the incentive program, contributing to further demand and potential price appreciation.
While, the DeFi incentive program is poised to strengthen Toncoin’s position in the market by enhancing liquidity, driving demand, and increasing visibility. These factors combined are likely to positively influence Toncoin’s price, reflecting the growing interest and engagement in its DeFi applications.
How high can Toncoin Price go?
Given the recent developments and performance metrics for Toncoin (TON), the potential for further price increases appears promising. Over the past year, Toncoin has surged by 187%, significantly outperforming 82% of the top 100 crypto assets, including major players like Bitcoin and Ethereum. This strong performance highlights Toncoin's growing market strength and resilience.
Currently, Toncoin is trading above its 200-day simple moving average, a positive technical indicator suggesting continued bullish momentum. Additionally, with Toncoin trading near its cycle high, the possibility of reaching new highs remains substantial. The presence of high liquidity, supported by a robust market cap, further bolsters the likelihood of upward price movement, as it allows for smoother trading and less price volatility.
Moreover, the negative yearly inflation rate of -26.20% indicates that the supply of Toncoin is decreasing, which could contribute to upward price pressure as demand continues to grow. Although there have been only 14 green days out of the last 30 (47%), signaling some recent volatility, the overall trend and the incentives from the new DeFi program suggest a positive outlook.
So, if Toncoin maintains its current performance trends and market conditions remain favorable, there is significant potential for further price appreciation. Given its past performance, strong liquidity, and the recent DeFi incentive program, Toncoin could potentially reach new highs, surpassing previous cycle peaks and reinforcing its position as a leading cryptocurrency.
