The ongoing tariff war is among the primary reasons for the price of Toncoin to hit $2.99, a 3.5% drop. The escalating selling pressure on the overall cryptocurrency market signals a risk of prolonged downfall and has brought clouds of doubt among investors.
As the total volume locked in the TON network continues to decline, the coin price could struggle to button stable support for reversal. Is the $2 breakdown close?
Total Value Locked Freefall Adds Bearish Weight to TON
The cryptocurrency market took a major downturn in the early week of April as United States President Donald Trump announced new tariffs on several nations. As these countries negotiate with Trump for a fair trade deal or impose retaliatory tariffs on U.S. imports, the broader market continues to suffer.
Toncoin, the native cryptocurrency of Open Network, has taken a heavy hit from the recent market correction. By press time, Toncoin was trading at $2.9, accounting for a 63.8% loss from its $8.24 all-time high.
Following the price fall, TON’s total volume locked has tumbled from $763 million to $148 million now, registering an 80.6% drop.
This sharp decline in TVL indicates a significant loss of user confidence and capital flight from the ecosystem. The drop reflects reduced participation in DeFi protocols and other smart contract activity on the TON network.
If the trend persists, the coin price will struggle to stall bearish momentum and could extend the current fall.
Toncoin Price Correction Heading for Major Breakdown
The Toncoin price analysis of the daily chart shows a V-top reversal from $4.2 to the current trading value of $2.99, marking a 29% fall. This downfall pushed the price below the 20-and-50-day EMA slope, signaling the overhead selling pressure is intact.
The previous price action revealed a breakdown below these EMAs has accelerated the selling pressure in Toncoin for a steady downfall. If the bearish momentum persists, the sellers could drive a 21% drop to challenge $2.35 support.
The horizontal level coinciding with the 78.6% Fibonacci retracement level indicates a crucial pivot level for the asset to include further price momentum. If the price gives a breakdown with the daily candle closing, the extended correction could hit a low of $1.7.
On the contrary, if buyers continue to defend the $2.35 floor, the TON price will shift sideways before triggering a bullish reversal.
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