The blockchain industry has witnessed a remarkable development in recent times, with various networks vying for prominence and adoption. One such network that has caught the attention of the crypto community is The Open Network (TON, Toncoin), the brainchild of the popular messaging app Telegram. Driven by Telegram’s vast user base and innovative features, TON has emerged as a formidable challenger to the long-standing smart contract leader, Ethereum.
TON’s Surge in Daily Active Addresses
In a significant milestone, Toncoin has surpassed Ethereum in terms of daily active addresses, a crucial metric that reflects the network’s engagement and adoption. According to blockchain analytics firm Artemis, TON has averaged a staggering 465,200 daily active addresses in June, with a peak of 568,300 on June 3rd. In contrast, Ethereum has yet to reach the 400,000 daily active address mark on its base layer during the same period.
This surge in TON’s daily active addresses is primarily attributed to the network’s integration with Telegram’s massive user base of over 900 million monthly active users. Telegram’s built-in crypto wallet, which is an “opt-out” feature for its users, has been a significant driver of TON’s growth. As Jehan Chu, an investor in the TON ecosystem, aptly described it, “That is Thanos-level kind of change,” referring to the seamless integration of web3 technology into Telegram’s messaging platform.
The Influence of Mini-Games and Bots
In addition to Telegram’s user base, the popularity of mini-games and bots within the platform has also contributed to TON’s surge in daily active addresses. Games like Notcoin, Hamster Kombat, and Catizen have amassed millions of users, with Notcoin alone boasting over 35 million tapped screens and a market cap of $1.6 billion.
These mini-games, while not directly interacting with the TON blockchain, have helped drive user engagement and awareness. Furthermore, trading bots like BONKbot and Banana Gun, which operate on the Solana and Ethereum networks, respectively, rely on Telegram to facilitate crypto trading among users on their mobile devices. TON also hosts its own trading bots, such as sTONks and TOB Bot, further solidifying the network’s presence within the Telegram ecosystem.
TON’s Potential for Growth
The impressive growth in TON’s daily active addresses has led crypto analysts to speculate on the network’s potential for continued success. Delphi Digital, a respected crypto analysis firm, has noted that TON’s daily active addresses have surpassed those of Ethereum, a remarkable achievement that highlights the network’s ability to leverage Telegram’s distribution capabilities.
Renowned crypto analyst “Crypto King” has recommended newcomers to explore TON, emphasizing the network’s user-friendly infrastructure and the credibility of its development team, which is the same team behind Telegram. The analyst believes TON could experience a significant price spike, potentially reaching as high as $10 in the coming weeks.
Similarly, market expert Alex Clay shares a positive outlook for TON, noting that despite the recent market downturn, the network maintains a bullish structure and is poised for double-digit gains. Clay predicts that TON could reach a price target of $10, with potential short-term targets of $10.5 and $11.6, supported by the presence of a Daily Cup & Handle pattern.
TON’s Impressive Market Metrics
A deeper dive into TON’s blockchain metrics reveals further reasons for optimism. According to Token Terminal data, the network’s fully diluted market cap has seen a 3.6% increase over the past 30 days, indicating a growing investor interest. While the trading volume for the token has decreased by 11.6% during the same period, the number of token holders has witnessed a significant surge of 76.3%.
In terms of revenue and fees, TON has experienced positive increases of 26.0% over the past 30 days. Perhaps most notably, the active user base on TON’s network has skyrocketed by an impressive 245.1%, with approximately 5.42 million monthly active users.
Despite the positive growth in these metrics, Toncoin, the native token of the TON network, has experienced a 3% decrease in price over the past 30 days, currently trading at $6.82. However, bullish investors will need to closely monitor the nearest support level at $6.80, which could prevent the token from further declines. Conversely, the nearest resistance level is $7.53, representing the last obstacle before a potential retest of Toncoin’s all-time high.
TON’s Potential to Challenge Solana
While Toncoin’s daily active addresses have surpassed those of Ethereum, the network still trails behind the impressive performance of Solana, which has averaged roughly 1.64 million daily active addresses in June. Nonetheless, the data scientist at Artemis, Andrew Van Aken, believes that TON’s growth is a positive development for the blockchain industry, as it is adding net new activity to the ecosystem.
Decentral Park Capital’s Kelly Ye echoes this sentiment, stating that for early ecosystems like TON, daily active users are a more important metric to watch than total value locked or fees, as gathering users is a higher priority than making money. Ye believes that Toncoin has the potential to close the gap in market cap with Solana in the current market cycle.
Telegram’s Influence and TON’s Future
The success of TON is undoubtedly tied to Telegram’s vast user base and the platform’s ability to seamlessly integrate web3 technology into its messaging services. As Dan Morehead, the CEO of Pantera Capital, aptly stated, “Telegram is a community [of over 900 million users] integrating blockchain technology. That’s just got to be easier.”
Pantera Capital, which has $4.7 billion in assets under management, has cited TON’s values as a neutral platform independent of state influence and its easy onboarding process as key reasons for their massive investment in the network. The venture capital firm believes that TON-native Telegram bots will become the preferred user experience for many traders.
Looking ahead, the continued growth and adoption of TON will largely depend on Telegram’s ability to maintain its user base and effectively leverage the network’s capabilities. As the blockchain industry evolves, TON’s unique position as a Telegram-integrated platform may prove to be a significant advantage, potentially allowing it to challenge the dominance of established players like Ethereum and Solana.
Conclusion
The surge in TON’s daily active addresses, surpassing that of Ethereum, is a testament to the network’s ability to capitalize on Telegram’s expansive user base and innovative features. The integration of web3 technology into the popular messaging platform, coupled with the popularity of mini-games and trading bots, has propelled TON’s growth and captured the attention of the crypto community.
While TON still trails behind the impressive performance of Solana, the network’s potential for continued success is evident in its impressive market metrics and the positive sentiment among crypto analysts. As Telegram continues to drive user adoption and leverage TON’s capabilities, the network may emerge as a formidable challenger to the established players in the blockchain ecosystem.
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Disclaimer: The information provided in this article is for informational purposes only and does not constitute financial advice. Investing in cryptocurrencies involves risks, and readers should conduct their own research and consult with financial advisors before making investment decisions. Hash Herald is not responsible for any profits or losses in the process.
