Toncoin (TON) cryptocurrency has faced a sharp decline even as Telegram rolls out its new Vault feature within the TON Wallet.
The launch of “Vault” in TON Wallet allows users to earn yield on Bitcoin (BTC), Ethereum (ETH), and Tether (USDT) without leaving the app.
Vaults are self-custodial, meaning users retain control of their private keys and assets while participating in decentralised earning strategies.
This integration of decentralised finance (DeFi) into a widely used messenger app marks one of the most accessible on-ramps to DeFi for everyday users.
The TON Wallet uses a combination of DeFi protocols to generate yield behind the scenes.
Morpho provides the lending backbone, while the TON Applications Chain executes transactions, and Re7 manages risk and strategy design.
Users simply interact through the Telegram interface, making the process seamless and user-friendly.
Despite the positive news, Toncoin’s market performance has been under pressure.
The cryptocurrency has dropped to $1.29, down 3.6% over 24 hours.
This decline aligns with a broader market-wide risk-off rotation.
The total crypto market cap fell 2.43%, and sentiment remains in extreme fear, with the Fear & Greed Index at 16.
Notably, altcoins are underperforming Bitcoin, and Toncoin has moved in line with the market.
Technical indicators show a bearish trend.
The price has broken both the 7-day and 30-day simple moving averages, confirming downward momentum.
In addition, the Relative Strength Index (RSI) reads 26.42, indicating deeply oversold conditions.
The selling volume has also increased by almost 30%, showing persistent pressure despite the oversold state.
Looking at the historical chart movements, the key support lies between $1.23 and $1.30, and the Fibonacci levels highlight this zone as critical for potential short-term rebounds.
A bounce could occur if buyers step in at these levels, especially if Bitcoin stabilises after its recent decline.
CoinLore’s analysis highlights additional support at $1.06 and a secondary zone near $0.8280.
On the upside, the immediate resistance is at $1.41, $1.79, and $2.02, marking key thresholds for traders to watch.
Traders should focus on high-volume rejection or acceptance around the $1.26-$1.30 range to gauge the next move.
With the introduction of Vaults, TON now combines utility and DeFi access, which could support demand if broader market conditions improve.
If the Toncoin price holds above the $1.23-$1.26 support zone, a short-term rebound toward the 7-day SMA at $1.33 could be possible.
Otherwise, a break below $1.23 may open the path to $1.14, where further downside could extend toward $1.06.
But the oversold RSI suggest a potential bounce, although caution is advised, as the market remains under pressure.
In case of a rebound, clearing the $1.41 resistance would signal strength and potentially push TON toward $1.79 and $2.02.
