Toncoin Lags Broader Crypto Rebound as Derivatives Data Shows Cautious Optimism

TON11419-USD -3.06% BTC-USD -0.66%

Toncoin (TON) is holding steady around $1.60 as traders react to signs of improving sentiment in crypto markets, based on a new derivatives report by Bybit and analytics firm Block Scholes.

The report points to a "slow-but-steady" recovery across digital asset markets, led by bitcoin and ether, which are now trading above $91,000 and $3,000, respectively, after seeing significant price rises. The wider crypto market, measured by the CoinDesk 20 (CD20) index, is up 6.8% in the past week, while TON moved up just 1.2% in that period.

But it’s the altcoin funding rates, including for TON, that stand out. After a weekend of aggressive shorting, perpetual swaps for several large-cap tokens have flipped into positive territory, according to the report. That means traders are now paying to hold long positions, a sign of renewed, even if cautious, confidence.

Still, the report notes that overall market participation remains muted. Open interest and trading volume in derivatives are well below pre-selloff levels, and volatility metrics suggest traders are no longer bracing for extreme downside, but haven’t fully re-engaged either.

In TON’s case, the shift in funding rates suggests some traders see a bottom forming after weeks of pressure. However, the report also highlights that altcoins underperformed BTC and ETH during the sell-off, and that recovery across these assets has been slower.

Traders watching TON may interpret the technical support near $1.59 and the slight upward trend as reinforcing this slow recovery narrative, according to CoinDesk Research's technical analysis data model. But with participation still low and whales continuing to hold large amounts of supply, the price outlook remains dependent on broader risk appetite returning to the altcoin market.

Meanwhile, Telegram’s integration of tokenized stock trading has gone live, allowing users to buy and sell U.S. equities, such as Apple and Tesla, using their TON wallets.

Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk's full AI Policy.