Toncoin, the cryptocurrency initially developed by Telegram and then handed to the open source community, is inching closer to the market capitalization of OG meme coin Dogecoin.
Toncoin has experienced a significant surge in the last day, increasing by 7.31% and bringing its market cap to a massive $25 billion, just $2 billion shy of Dogecoin’s $27.6 billion.
The coin started the day at $6.70, peaked at an all-time high of $8.80 on Bitfinex, and has since corrected to its current price of $7.10. This represents an 8% increase in the last 24 hours, 40% in the last week, and a staggering 125% in the last 30 days.
Toncoin, handed over to the open-source community after Telegram abandoned the project, has recently been making waves in the crypto market. The recent spike in Toncoin’s value is likely helped by rumors of Telegram going public—a development predicted by highly influential accounts in the crypto space.
imagine if you had an L1 with 900 million active users, thats basically the argument for the toncoin trade
— Ansem 🐂🀄️ (@blknoiz06) April 10, 2024
The rumors of a possible initial public offering (IPO) have been around for a while. Back in March, Telegram CEO Pavel Durov told Business Insider that his company had “been offered $30-billion-plus valuations” from potential investors but that he’s more interested in launching a direct initial public offering.
Another factor contributing to Toncoin’s popularity is the Notcoin game. It boosted Toncoin’s popularity by rewarding users who engaged with the TON ecosystem through installing a wallet, purchasing NFTs, upgrading Telegram accounts, and using other TON-based projects.
Subjected to a technical analysis, Toncoin looks bullish but could be nearing a bearish correction. Its Relative Strength Index (RSI) indicates that the coin is being overbought, with an 8-2 ratio of bulls over bears. This could lead to a short-term correction as some bulls realize their gains, adding bearish pressure to the coin’s price trend.
Image: Tradingview
The Average Directional Index (ADX) —which measures how strong a price trend is— also shows a strong bullish trend with 62 points. An ADX of more than 24 points is considered bullish.
If Toncoin continues its upward trajectory, its obvious all-time high of $8.80 may act as resistance. However, the coin is already in a price discovery zone. If it corrects, a price range around $6 could be a good accumulation point, serving as support for price movements and also marked by its EMA10, the average price over the last 10 days.
Toncoin had recently surpassed Cardano (ADA) in terms of market capitalization, with ADA currently at $20 billion. The gap between Toncoin and Dogecoin, meanwhile, is now remarkably small. Still, something as small as a tweet from a highly influential Dogecoin supporter could widen the gap and allow the dog to rest comfortably in the cool shadow of USDC’s market cap.
Edited by Ryan Ozawa.
