Tron price analysis: TRX/USD slips to $0.0259 as the market does not believe in Justin Sun’s honey-words

• TRON is the worst-performing coin of the day, losing nearly 5% in recent 24 hours.
• Tron’s founder boosted prices, but the momentum faded away all too quickly.

TRON (TRX) crashed to $0.0259, losing nearly 5% since this time yesterday with downside momentum gaining traction. The coin has turned from a market leader to the worst-performer overnight as traders follow the pattern “buy the rumor sell the fact”.  

What’s going on

TRON’s Founder Justin Sun surely played a hand in recent Tron’s rally. Having announced the forthcoming update of Tron’s protocol he claimed that it will make the coin 200 faster than Ethereum and 100 times cheaper than EOS.  

“The TRON Committee function & (Tron Virtual Machine) will go live, marking the start of the Smart Contract Era. TRON will be 200x faster vs. ETH, 100x cheaper vs. EOS. dApp developers & users, this one is for you!” Mr. Sun stated on Twitter.

The latest version of  Odyssey 3.1 went live at 8 pm SGT on Monday as a result of “community consensus. The implemented changes include the launch of TRON Virtual Machine where developers can test their smart contracts before they go live.

Tron’s technical picture

From the technical point of view, TRX/USD is trading close to SMA100 (1-hour), which serves as a local support. If it is cleared, the downside may be extended towards DMA50 at $0.0222 and to critical $0.02, where a fresh buying interest is likely to appear.

On the upside, the recovery is capped by $0.0282 (Monday’s high) with the next strong resistance located at $0.03 (psychological level and the highest price since August 6). The bulls need a sustainable move higher to proceed towards ultimate target produced by $0.04 (78.6% Fibo retracement level for the upside movement from March 18 low).