Amid general market uncertainty, Toncoin’s price showed a modest 0.32% gain to $5.39 during the trading session on Saturday. This move indicates a consolidation trend below the 200-day exponential moving average, allowing bears to control the current market movement, CoinGape reports.
Telegram’s 2023 financial report shows that the company is actively involved in the crypto industry – up to 40% of the company’s revenue comes from cryptocurrency-related sources. In particular, from Telegram’s integrated crypto-transaction wallet Telegram Wallet and the username-selling platform Fragment.
Despite the revenue growth, the company ended 2023 with a loss of $108 million. Telegram’s balance sheet shows that the company holds $400 million in crypto assets, which exceeds its cash reserves. The price movement of Toncoin (TON) could significantly affect Telegram’s financial stability, given the company’s large stake in this crypto asset. Since last week, the price of Toncoin has come under aggressive selling pressure following the arrest of Telegram founder Pavel Durov, which led to a 22% drop in the asset.
If sellers continue to put pressure on TON, the price may fall by 12% and reach $4.72, which is a horizontal support unchanged since March 2024. If sellers break through this important support and make it a resistance zone, the price of TON may continue to correct to $3.3. On the other hand, the $4.72 level is an important accumulation point for buyers, which may lead to a reversal of the trend from bearish to bullish. In this case, the price of TON may run into the current resistance zone of $6.91.
