TRON Price Prediction: TRX at risk of falling 17% as support weakens

0
  • TRX is currently trading at $0.0257 and has been trading sideways for the past two weeks.
  • The digital asset is on the verge of a major price move according to several indicators.

The 16th largest cryptocurrency by market capitalization is under a period of consolidation. Volatility has been dropping significantly over the past two weeks. Similarly, after a huge spike in trading volume on September 5, the volume has been declining every day.

TRX eying up $0.0218 if selling pressure continues

Tron has been trading inside a specific range between $0.029 and $0.024 for the past two weeks. The area has been tightening up significantly over the past week and in conjunction with a declining trading volume, it indicates the digital asset is on the verge of a major price move.

TRX/USD 12-hour chart

trx price 

To support this theory, we can observe the Bollinger Bands and how squeezed they currently are. The upper boundary at $0.027 has been tested several times over the past few days and has continued to reject the price. The support level is established at $0.025.

TRX/USD 4-hour chart

trx price

Another major bearish indicator is the breakout of the symmetrical triangle pattern formed on the 4-hour chart. TRX slipped below $0.0266 with a lot of bearish continuation. Slicing through the $0.025 support level can potentially drive TRX to $0.022.

TRX/USD daily chart

trx price

Despite the current short-term downtrend, on the daily chart, TRX is still trading sideways. For now, bulls are defending the critical $0.025 support level. There is a clear resistance level at $0.027. A breakout above this level can drive TRX towards the 50-SMA at $0.0285.

The MACD also remains bullish on the daily chart and the RSI is closer to being oversold than overbought. The $0.025 support level is robust and was defended on several occasions on October 7, October 1, and September 25. 

Important price levels for TRX investors

Several indicators show that TRX is on the verge of a major price move as volatility and trading volume are decreasing. A bullish breakout above the upper boundary of the BB indicator at $0.027 will push TRON to $0.0285 in the short-term.

On the flip side, bears are looking for another major correction as selling pressure continues mounting. A slip below the critical $0.025 support level will most likely drive TRX towards the low of $0.022 as a maximum price target.

Get the 5 most predictable currency pairs

About Author