Toncoin, a cryptocurrency originally developed by Telegram and then handed over to the open source community, is slowly approaching the market capitalization of the OG meme coin, Dogecoin.
Toncoin experienced a huge rally in the previous day, rising 7.31% and taking its market capitalization to a massive $25 billion, just $2 billion behind Dogecoin’s $27.6 billion.
The coin started the day at $6.70, reached a high of $8.80 on Bitfinex, and then corrected to its current price of $7.10. This represents an increase of 8% in the past 24 hours, 40% in the last week, and a staggering 125% in the past 30 days.
Toncoin, which was handed over to the open source community after Telegram abandoned the project, has recently been making waves in the cryptocurrency market. The recent surge in Toncoin’s value is likely fueled by rumors of Telegram going public, with highly influential accounts in the crypto space predicting this development.
Rumors about a possible initial public offering (IPO) have been circulating for some time. Back in March, Telegram CEO Pavel Durov said: Said business insider He said his company “has been offered a valuation of more than $30 billion” by potential investors, but he is more interested in doing a direct initial public offering.
Another factor contributing to the popularity of Toncoin is the Notcoin game. Toncoin grew in popularity by rewarding users who engaged with the TON ecosystem through installing wallets, purchasing NFTs, upgrading Telegram accounts, and using other TON-based projects.
According to technical analysis, Toncoin looks bullish, but it may be approaching a bearish correction. Its Relative Strength Index (RSI) shows that the coin is overbought with a ratio of bulls to bears of 8 to 2. This could lead to a short-term correction as some bulls realize profits, putting bearish pressure on the coin’s price trend.
Image: Tradingview
The average directional index (ADX), which measures the strength of price trends, also shows a strong bullish trend at 62 points. ADX above 24 points is considered bullish.
If Toncoin continues its upward trajectory, its apparent all-time high of $8.80 could provide resistance. However, the coin is already in the price discovery zone. If this value corrects, the price range around $6 could be a good accumulation point, which acts as support for price movements and is also characterized by an EMA10, which is the average price of the past 10 days.
Toncoin recently surpassed Cardano (ADA) in terms of market capitalization, with ADA currently valued at $20 billion. On the other hand, the difference between Toncoin and Dogecoin is now surprisingly small. Still, something as small as a tweet from a highly influential Dogecoin supporter could widen the gap and allow it to rest comfortably in the cool shadow of USDC’s market cap.
Edited by Ryan Ozawa.
