Tron [TRX] has been struggling to recover from the recent market crash along with its peer altcoins. It slid to the 19th spot by market cap after testing the crucial support zone and was still down by 12.75% over the past week.
Prior to the correction, the crypto-asset had been on an uptrend over the past few months similar to the rest of the market, and rose steadily in April as it breached multi-year highs.
Tron [TRX] was trading at $0.124 at the time of writing, having dropped 5.62 percent in the previous 24 hours. The altcoin registered a market cap of $8.83 billion and a 24-hour trading volume of $3.13 billion.
Tron [TRX] Daily Price Chart:
Tron’s [TRX] daily chart depicted a decline in volatility in the market which could shrink its upside potential. There are two possible scenarios. Firstly, it could enter a consolidation phase, Second, the altcoin could test psychological support points and fall back to 2020-lows.
The moving averages depicted the bullish presence defending the current price level. The upward slopping 50 DMA [Pink] continued to rest below the TRX price candles. The 100 DMA [Blue] also supported the candlestick arrangement from further decline as it hovered well below the 50 DMA with a steady gauge between the two.
Tron has been under pressure after it rallied to a local high last week as investors booked profits after offloading their coins. This prompted the MACD to sustain a bearish crossover which appears to be amplifying, at press time.
The Stochastic RSI fell towards the extreme oversold region as the altcoin’s price took a plunge. However, it was heading for a bullish crossover and a potential bounce back which indicated in the formation of a quick support.
The RSI, on the other hand, was nearing the 50-median line evidencing a sentiment of a decline in the buying pressure among the TRX market participants.
The resistance levels for Tron was found at to be at $0.163, $0.201, and $0.224 while the support was firmly held at $0.11, $0.085 and $0.065 respectively.