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TON Fails to Keep Pace as Blockchain Sets World Record for Fastest Network

Last Updated November 4, 2023 1:12 PM
Nikola Lazic
Last Updated November 4, 2023 1:12 PM

Key Takeaways

  • TON Network sets the world record for the fastest blockchain.
  • Price increased by 18% from mid-October while the market in general rose by 27%
  • A key resistance was reached and a rejection is on the horizon.

The TON blockchain  has achieved an outstanding milestone in blockchain transaction speeds, with a live-streamed public stress test on November 2 recording an impressive 104,715 transactions per second (TPS). This remarkable achievement, validated by the renowned smart contract auditing firm CertiK, solidifies TON’s position as a leading contender in the realm of high-speed, scalable public blockchains.

This achievement not only surpasses Visa’s transaction capacity but also eclipses the previous record of approximately 65,000 TPS. The test, hosted on Alibaba Cloud’s robust infrastructure, commenced with 256 validators and smoothly transitioned into 512 shards as transactional demands increased, showcasing TON’s ‘infinite sharding paradigm’ for effective load management.

TON’s ability to handle such high transaction throughput marks a significant milestone, signifying its potential to support large-scale and high-frequency transactional applications, potentially reshaping the blockchain industry.

In contrast, TON’s price struggled to keep pace, rising 18% from its mid-October low of $2 but facing challenges in maintaining upward momentum above $2.27. This followed a 26% downturn from its September 19 high of $2.60.

TON Price Prediction

TON‘s price journey has been notably dynamic in recent months. After a substantial 120% surge from August, propelling it from slightly over $1 to a peak of $2.50 on September 20, TON reached a level reminiscent of its previous macro high. However, this peak encountered significant resistance, resulting in a sharp decline to $1.90 by October 15.

B wave near completion
TON likely on a corrective rise

The sharp drop at that time may have seemed like the onset of a broader correction phase. However, subsequent price movements have revealed resilience, pushing TON’s value back up to $2.30 as of the day’s high. This recent increase could indicate a corrective wave B within a typical ABC correction pattern.

A Potential Downturn Ahead?

If this is a corrective wave and not the beginning of a new uptrend, we might expect an impending downturn. This would have with an initial correction target near $1.70. Conversely, if the price continues its upward momentum, surpassing the September 20 high, it could challenge the corrective pattern hypothesis and imply the possibility of an ongoing uptrend.

 

Rejection looks more likely
At key resistance

An examination of TON’s recent uptrend on the 4-hour chart reveals a slowdown in momentum. This is evident in the diminishing formation of consecutive highs and lows. This pattern suggests that the price is grappling to maintain its upward trajectory. This is particularly evident in its multiple unsuccessful attempts to secure a position above the 0.5 Fibonacci retracement level.

The inability to breach this pivotal Fibonacci level indicates a shortage of buying pressure at these higher price levels. A shift in market dynamics due to fresh capital infusion could trigger a significant price surge. If this happens and the price breaks its current resistance, the next logical target, based on wave analysis, is approximately $2.48. This aligns with the 1.618 Fibonacci extension level, often linked with the third wave in Elliott Wave theory.

Reaching this target and maintaining bullish momentum could confirm the strength of the current trend. The potential for new highs hinges on broader market sentiment and specific catalysts within the TON ecosystem.

Disclaimer

Please note that the contents of this article are not financial or investing advice. The information provided in this article is the author’s opinion only and should not be considered as offering trading or investing recommendations. We do not make any warranties about the completeness, reliability and accuracy of this information. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. Any investor, trader, or regular crypto users should research multiple viewpoints and be familiar with all local regulations before committing to an investment.

 

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