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Toncoin (TON) experiences a significant price surge: How far can it ascend?

The price of Toncoin (TON) has surged strongly after breaking above a long-term pattern. Will this upward momentum continue in the near future?

Breakout of the Long-Term Pattern

Toncoin (TON) price has been trading inside a symmetrical triangle since April 2022. Both the support and resistance lines of the pattern have been tested several times, confirming the validity of the pattern.

During the week from February 26th to March 3rd, 2024, the TON price broke above this pattern and confirmed it as support in the following week (green arrow).

As this pattern has existed for 672 days, the post-breakout movement is expected to be very strong.

Indeed, the TON price has surged significantly since then and reached a new all-time high of $5.2.

The weekly RSI (Relative Strength Index) has risen into the overbought zone and sloping up, indicating that the bulls have completely taken control of the market.

When an asset enters a price discovery phase, Fibonacci extension levels are useful tools to identify local tops for it.

Since the TON price has broken above the 1.618 Fibonacci extension resistance level ($4.6), the next potential target is the 2.618 Fibonacci extension ($6.38). This figure corresponds to a 31.32% increase from the current price level.

TON/USDT weekly chart. Source: TradingView

Daily Outlook

The TON price has broken above the horizontal resistance zone at $4.4 today, marking the continuation of the uptrend on the daily timeframe.

The daily RSI has returned to the overbought zone and sloping up, supporting the possibility of further upward movement.

Additionally, higher trading volume as the price rises is a sign of a sustained uptrend.

Therefore, the daily chart supports the price rising towards the target on the weekly timeframe.

TON/USDT daily chart. Source: TradingView

Conclusion

The most likely prospect indicates that the TON price will continue to rise in the near future. The potential target for this move is the 2.618 Fibonacci extension level at $6.38.

Disclaimer: Please note that this article is for informational purposes only and should not be taken as investment advice. As an investor, it is important to do your own research before making any decisions. We are not responsible for any investment decisions you make based on this information. Not Financial Advice.

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