Key Takeaways
- TON’s Normalized Risk Metric (NRM) signals a low-risk phase, ideal for accumulation.
- Medium-term (SMA 50) and long-term (SMA 374) metrics highlight attractive buying zones.
- Patience and dollar-cost averaging (DCA) could enhance investment outcomes.
CryptoQuant’s analysis places The Open Network (TON) at the edge of a critical buying phase as its Normalized Risk Metric (NRM) approaches the blue zone. This metric, based on comparing TON’s current price to exponential moving averages (SMA 50 and SMA 374 days), exposes low-risk periods that often mark accumulation opportunities.
Historical data shows that such blue-zone phases prelude surges, and hence this is a very strategic positioning of investors. The metric changes with logarithmic factors to capture the variation of risk and give an exact picture when TON is undervalued. Such periods have usually been followed by the quickening pace of market activity and thus the preparation of a very big upward momentum.
374-Day Moving Average: Identifying TON’s Risk Floor
The NRM indeed provides different insights with its medium-term and long-term measurements. The medium-term metric is inextricably linked with the 50-day moving average and is important for short- to mid-term strategies. The dipping of this metric into the blue zone forms an opportune moment for investors targeting immediate returns.
While the long-term metric, which focuses on the 374-day moving average, underlines TON’s historical risk floor. A blue reading in this metric further ascertains the asset’s potential for a sustainable price rally, hence very important for long-term holders. The interaction of these averages and logarithmic deviations is useful to track by investors to anticipate changes in market dynamics.
How Strategic Investors Capitalize on Momentum
The reward will be patience for those tracking TON. As a matter of fact, waiting until the NRM is fully settled in the blue zone guarantees minimum risk and maximum return on investment. Using a DCA approach during this period enables investors to build up their position in TON gradually, thereby reducing timing risks.
The charts should be kept in view, especially the 50-day and 374-day moving averages. Key moments, like crossovers or notable logarithmic deviations, often mark a shift in the market and thus provide good entry signals for investors.
The closer TON gets to this low-risk window, the higher the potential for large gains. Proportionally, each time this has occurred previously, those who act strategically during such phases benefit from the price momentum afterward; it positions TON as one of the assets to keep a close eye on.
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