Despite an overall market slump, Toncoin (TON) has undergone a notable rebound as Telegram Founder Pavel Durov has spoken for the first time since his arrest. The messaging app’s CEO was taken into custody in late August. French authorities have since been investigating criminal activity taking place on the platform.
Those developments drove the price of TON to plummet. Yet, it appears to be making a reversal. Moreover, it is rebounding in the throws of a stark bear market. The questions now turn to whether or not the Telegram ecosystem can sustain the positive sentiment it uncovered.
Source – MakeUseOf
Also Read: Telegram TON Blockchain Stops Processing Transactions Again
Telegram CEO Finally Speaks as TON Looks to Bounce Back
It has been a down few months for Telegram and its Blockchain ecosystem. The arrest of Pavel Durov was certainly shocking. Connected to an ongoing investigation, questions arose on the conduct off the platform. Moreover, it seemingly stopped processing transactions, leading many to jump ship.
That was all made worse by an overall market slump. The downturn has Bitcoin nearing $55,000 after reaching an all-time high of $73,000 just six months ago. Even worse, BTC may continue falling, threatening to drop to $50,000 lows.
Yet, there appears to be an outlier. Toncoin has seemingly bucked the trend, with TON rebounding following recent statements from Telegram’s recently released founder. On Friday, the token increased as much as 4%, trading as high as $5 early in the day, according to CoinMarketCap.
Also Read: Can Toncoin (TON) Hit $10 in September 2024?
That is a strong shift from its last seven days, where it fell more than 12.6%. Additionally, it has fallen more than 16% in the last 30 days. That reversal seems to be connected to Durov’s recent statement. He spoke out about the arrest, calling the French authorities approach, “misguided.”
“Using laws from the pre-smartphone era to charge a CEO with crimes committed by third parties on the platform he manages is a misguided approach,” he said. “Building technology is hard enough as it is. No innovator will ever build new tools if they know they can be personally held responsible for potential abuse of those tools.”
Durov certainly has a point. Moreover, his sentiment was rooted in the ardent defense of his arrest throughout September. In response to his apprehension, Telegram has recently updated its FAQ page to address changes, including the integration of a ‘report’ button for users.