The TON price currently hovers at $1.28, representing a 4.54% price increase in the last 24 hours. Its price gain in the last 7 days stands at 7.58%. Toncoin is likely benefiting from the positive outlook of the global crypto market, standing at $1.18 trillion, representing a 1.42% gain in the last 24 hours. But how far can the rally go?
What Could Be Driving TON’s Price Gains?
According to a Ton Developer Report, the ecosystem recorded a massive increase in developer involvement of up to 102% in 2023. This is a significant increase from its previous levels in 2016. In addition, the report noted several events within the ecosystem that could be spurring the present surge. They include the DoraHacks Hackathon, TON Wiki Challenge, and the TON Grants program.
Also, the TON Developers Chats community grew by 6.5% in Q2 2023, with 9,134 members by the end of June. This indicates rising interest among developers in the Toncoin network.
The DoraHacks Hackathon was a significant event for the ecosystem’s growth, as it boosted community engagement. The TON Wallet challenge also recorded 101 submissions from developers competing for a share in the $40,000 prize pool.
Similarly, the TON Wiki Challenge received 50 valuable contributions and rewarded 30 participants with a total prize of $5,000 in USD. Furthermore, the TVM challenge recorded the presentation of 11 projects with new features. The participants competed for a share in the $54,000 prize pool.
Finally, the Ton Web App Challenge presents concepts that cut across various ecosystems and their progress.
Aside from challenges, the TON Grants program supported 34 projects with approximately $66,000 in funding. These projects will likely positively affect the ecosystem once they are complete.
With these strategic programs, TON is transforming into a developers’ hub, and the increased activity on the network is driving its price gains.
Can TON Reach $2?
TON shows limited trading activity with the small candles formed on the daily chart. It is trading below its 50-day and 200-day Simple Moving Average (SMA), expressing a bearish sentiment. Also, the 50-day SMA is about to drop below the 200-day SMA, forming a Death cross which confirms an increase in bearish pressure.
The Relative Strength Index (RSI) shows a value of 31.42, close to the oversold region 30. However, the RSI is moving sideways, confirming price volatility for the asset.
The Moving Average Convergence/Divergence (MACD) is below the signal line, also expressing a bearish sentiment. However, the Histogram bars are fading, hinting at a short-term price surge.
With all the indicators screaming bearish pressure, Toncoin will find it hard to sustain the rally in the short term and likely succumb to the rising pressure from the bears in the coming days.
Featured image from Pixabay and chart from TradingView.com