Toncoin traders take profits as crypto VCs invest $400M in TON

• Toncoin’s value fell to $3.6 on Friday, representing a 9% decline from the $4.1 high reached the day before.
• This dip comes after traders opted to take profits following a major crypto VC’s announcement of a $400M TON acquisition.
• According to derivatives data from Coinglass, there are around $10 million in short futures positions concentrated near the $4 level.

Toncoin secures $400 million in venture capital investments

The consortium of venture capital firms, which includes notable names such as Sequoia Capital, Ribbit, Benchmark, and Kingsway, has collectively invested over $400 million in Toncoin, as announced by the Open Network (TON) Foundation on Thursday.

“These venture capital firms have invested more than $400 million in Toncoin, the native cryptocurrency of the TON blockchain. This funding has been provided in Toncoin rather than in the form of traditional equity or cash.”

– Spokesperson for the TON Foundation.

As reported by the foundation, the TON blockchain has seen its user base exceed 40 million over the last year, and the count of unique Toncoin holders has reached 121 million.

“The TON team excels at merging consumer product innovation with crypto infrastructure.

Given Telegram’s global reach, we are excited about their potential,”

– Shaun Maguire, partner at Sequoia Capital.

TON provides the blockchain infrastructure that fuels a developing ecosystem of mini-apps within Telegram’s messaging platform.

The recent blending of AI and blockchain technology has brought renewed global interest to the Toncoin ecosystem in recent weeks.

This investment announcement follows just days after Telegram’s CEO confirmed his return to Dubai following an earlier arrest in France.

Toncoin’s price slides 9% as traders seize profits

The venture capital investment of $400 million triggered a rapid wave of profit-taking among Toncoin traders.

This led to a notable drop in TON’s price on Friday, falling to a low of $3.50 after reaching a weekly high of $4.10 the previous day.

The 10% price correction seems to have been driven by traders cashing out profits in light of the significant capital influx from venture capitalists.

Toncoin price action | March 20, 2025

Despite this decline, important technical indicators suggest that bullish support remains intact.

The daily candlestick’s lower wick is noticeably longer than the upper shadow, which signals that buyers are stepping in to halt any further declines.

This implies that long-term investors are absorbing the selling pressure while short-term traders exit their positions.

Additionally, Toncoin’s trading volume has stayed robust, exceeding 10 million TON in the last four trading sessions.

By midday U.S. trading, TON’s volume had already reached 7.92 million, setting it on pace to surpass the 10 million mark by day’s end.

These market dynamics suggest that demand for Toncoin is enduring, as selling pressure is being met with significant buying interest.

If current trends continue, the ongoing retracement may stabilize around the next psychological support level at $3.00.

Toncoin price outlook: Resistance at $3.90 may obstruct bullish momentum

The price outlook for Toncoin remains cautiously optimistic, notwithstanding the recent wave of profit-taking following the $400 million investment from venture capital.

As of now, TON is trading around $3.54, nearing the upper Bollinger Band at $3.90—an essential resistance area that corresponds with a considerable concentration of leveraged short positions in the derivatives market.

Toncoin price forecast x Liquidation Map

Data from Coinglass indicates that roughly $1.2 million in short leverage is concentrated at the $3.90 mark.

This suggests that many bearish traders are working to defend this level to avoid forced liquidations.

Furthermore, widening Bollinger Bands point to increasing market volatility.

With Toncoin testing the upper boundary, a breakout seems plausible.

However, for this optimistic scenario to materialize, TON must secure a decisive close above $3.90—either prompting a short squeeze or being buoyed by a favorable market catalyst that compels bears to unwind their positions prematurely.

On the downside, the exchange liquidation heatmap reinforces the significant short positions, indicating that bearish traders still retain an edge in the short-term derivatives market.

If Toncoin fails to breach the $3.90 resistance, sellers may regain control, potentially pushing the price back down below the $3.50 threshold.