Tron Outperforms Cryptocurrency Market, Hits Yearly High. Let’s Take a Look at TRX Price Future Prospects.
Tron (TRX) Status
After hitting a low of $0.045, Tron began an upward trend, partly due to the overall movement in the cryptocurrency market. Upon reaching $0.145, Tron faced bearish pressure that pushed it down to $0.11. It was at this price level that the crypto managed to bounce back, continuing its upward trend to peak at $0.16. It is important to note that this happened while the entire cryptocurrency market was losing interest. This resurgence can be attributed to the fact that DeFi on the Tron blockchain has recently attracted liquidity.
At the time of writing, Tron price is trading around $0.15. The short-term trend of this cryptocurrency is bullish, and the medium- to long-term trend remains positive. These observations can be supported by the fact that the cryptocurrency is above its 50-day and 200-day moving averages. Nevertheless, it is interesting to note that the breaking of TRX’s latest peak seems to have triggered selling pressure, as evidenced by the ongoing correction of the crypto. Buyer support is therefore desirable to maintain the clearly visible bullish momentum of Tron price as well as its oscillators.
The current technical analysis was carried out in collaboration with Elie FT, an investor and trader passionate about the cryptocurrency market. He is now a trainer at Family businessa community of thousands of owner traders active since 2017. You will find Lives, educational content and support around the financial markets in a professional and friendly atmosphere.
Focus on TRX/USDT derivatives
Although recently revised downward, Tron’s recent upward movements have led to an increase in open interest in TRX/USDT perpetual contracts. Coupled with a rising CVD, this suggests growing speculator interest, mainly oriented towards buying. Interestingly, this phenomenon occurred after a period where these indicators showed muted interest, accompanied by negative funding rates. This could explain the significant liquidations observed during Tron’s latest surge.
The three-month liquidation heatmap for TRX/USDT shows that the crypto bounced off the liquidation zone at $0.117. This triggered buying interest that pushed Tron to $0.16. Currently, notable liquidation zones are mostly below the current price of the crypto. The zone between $0.12 and $0.13 is initially notable, and further down, the zone between $0.11 and $0.116. Approaching these levels could trigger a massive order execution, increasing the risk of a period of heightened volatility for the crypto. These zones therefore represent a crucial point of interest for investors.
Tron (TRX) Price Hypotheses
- If Tron price stays above $0.145, we could anticipate a breakout beyond $0.166. The next resistance to consider, if the bullish movement continues, could be at $0.176, and beyond that, we can note $0.184. At this point, this would represent an increase approaching 23%.
- If Tron price fails to hold above $0.145, we could be looking at a move back towards the $0.137 levels. The next support to consider, if the downward movement continues, would be around $0.126. Further down, we can note the support at $0.117. At this point, this would represent a decline of around 22%.
Conclusion
Tron has seen a bullish recovery despite a subdued cryptocurrency market, supported by the influx of liquidity into DeFi on its blockchain. The trend remains positive in the short, medium and long term, although the emergence of selling pressure indicates the need for buyer support to maintain this momentum. Thus, it will be crucial to closely observe the price reaction at different key levels to confirm or deny current assumptions. It is also important to remain vigilant against possible “fake outs” and “squeezes” in each scenario. Finally, remember that these analyses are based solely on technical criteria and that the price of cryptocurrencies can also evolve rapidly depending on other more fundamental factors.
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Family Trading is a community of self-employed traders active since 2017 offering Lives, educational content and mutual assistance around the financial markets including cryptocurrencies with Elie FT at its side, investor and passionate trader on the crypto market.
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