Toncoin, the native currency of the Tonchain blockchain, has been experiencing some rough waters lately. Despite being a top 10 cryptocurrency, it’s been on a downward trend, raising concerns about its future.
A Big Sell-Off Sparks Fear
Over the past week, Toncoin has dropped by almost 18%, although it has stabilized somewhat in the last day. However, this recent dip comes after a six-month period of strong growth, with prices nearly doubling.
The main culprit for this sudden drop seems to be a large liquidity provider (LP) who sold off a huge chunk of their Toncoin holdings, worth over $1.98 million. This massive sell-off sent shockwaves through the market, pushing prices down further.
This kind of move by a major player can trigger a domino effect, as other investors often follow suit. It’s a classic case of “if they’re selling, there must be a reason.”
Durov’s Arrest Adds to the Uncertainty
Adding to the market’s anxiety is the recent arrest of Pavel Durov, the CEO of Telegram. Telegram is closely linked to Tonchain, and Durov’s arrest has raised concerns about the future of the project.
Durov was detained in Paris over allegations that Telegram hasn’t done enough to moderate its platform and cooperate with law enforcement. While Telegram claims Durov has “nothing to hide,” the situation is still unfolding, and its impact on Toncoin remains unclear.
What’s Next for Toncoin?
The immediate future of Toncoin looks uncertain. If the selling pressure continues, the price could drop even further, potentially falling below a key support level of $4.8. This could trigger panic selling, leading to a more significant decline.
However, it’s still too early to say for sure what will happen. The market is volatile, and things can change quickly. Investors will be watching closely to see how Toncoin responds to these recent events.
