TON: Bearish Breakdown Imminent, 50% Drop Looms

TONCOIN PRICE ANALYSIS & PREDICTION (February 3) –TON Sets For a Huge Breakdown Following This Bearish Pattern

TON, after failing to advance bullishly late last year, initiated drops and rolled back to a multi-month support level. A major breakdown is likely to occur at this level, which could bring a bounce back. Since the massive explosion in the first quarter of 2024, Ton's price has remained well above $4.45, with several attempts to slip below this price level proving abortive as it holds as crucial support.

However, following the latest bearish setup, this support might get bridged any moment from now as the price trades around it for the fourth time. A breakdown from there should set the stage for a major loss in the mid-term, capable of causing a 50% drop to refill the February 2024 gap. Such a drop will confirm the bearish (double-top) pattern forming on the weekly timeframe, bringing a serious negative sentiment in the market, although a buyback is expected once the gap is refilled at $2.2.

Considering the latest sell signal, there's no room for the bulls. If by any chance they manage to defend the crucial support well, we can expect a short bounce before resuming bearish at full speed. Nonetheless, the bears are suggested to win the battle. The main key level to watch for a breakdown is $4. A further extension of the selling pressure could drive the price to the $3.32 level and lower.

While there's no room for buying at the moment, we may see a short bounce to $5 if the bulls react strongly to the latest drop. Meanwhile, the resistance above this price level is $5.66, followed by $6.5 and $7.2. Key Resistance Levels: $5.66, $6.5, $7.2 Key Support Levels: $4.45, $4, $3.32 Spot Price: $4.57 Trend: Bearish Volatility: High