The value of Toncoin (TON), the cryptocurrency associated with Telegram, has experienced a significant increase of approximately 50% this month, including a 15% surge in the last 24 hours, reaching a three-week high of $7.10 on May 10th.
Toncoin has outperformed the wider cryptocurrency market, which has seen a 15% bounce in valuation during the same period. This suggests that while Toncoin’s movements are somewhat aligned with other leading cryptocurrencies, it possesses stronger catalysts that have enabled more substantial growth.
One such catalyst is the upcoming launch of Notcoin, a play-to-earn game, on May 16th. Notcoin is a social clicking game that operates within the Telegram app. Players are encouraged to invite friends to join and engage with the Notcoin bot to earn a digital currency called Notcoin. Over 34.5 million players have already participated in the mining of these tokens. The Notcoin team has confirmed an airdrop of a new native crypto, NOT, among the tokenholders, which will function on the TON blockchain.
Furthermore, NOT will be available for trading on leading crypto exchange platforms such as Binance and Bybit on May 16th. The days leading up to the launch have seen a significant increase in the total value locked (TVL) across the TON network, reaching 40.58 million TON as of May 10th. This represents a 33% increase in May and a sevenfold increase in 2024, highlighting the strong demand for Toncoin. The rising TVL also coincides with the integration of Tether (USDT) stablecoins on the TON blockchain.
Another factor contributing to Toncoin’s price increase is the undisclosed investment made by Pantera Capital in The Open Network, the PoS ecosystem associated with Telegram. Pantera Capital cited the integration with Telegram as a primary factor behind the investment, noting the massive reachability of Telegram with 900 million monthly users and 36.7 million monthly downloads.
Technically, Toncoin’s recent gains have been driven by a rebound that started after it reached a key support confluence marked by an ascending trendline, the 50-day exponential moving average (EMA), and the 0.618 Fibonacci retracement level. This support zone has provided a strong foundation for the price to bounce back.
Based on fractal analysis and technical indicators, Toncoin’s price could rise by over 20% in May, with a potential target of $8.77. However, a pullback from the resistance level could result in a downside target of $6.19, and a break below that level could lead to a decline towards $5.40.
It’s important to note that this article does not provide investment advice or recommendations. Readers should conduct their own research and assessment of risks before making any investment or trading decisions.
Toncoin, which is associated with Telegram, experiences a remarkable 50% surge in May due to these three factors.