The cryptocurrency market has witnessed aggressive selling. Tron [TRX] was still down by 40.31% over the past seven days despite hints of an uptick. The roaring bull market has halted and a strong uptrend might not be in the cards for a while.
In the midst of volatility, the digital asset saw back-to-back waves of selling pressure as traders dumped on lower-level rallies. The bears have been relentless in the pursuit of deeper support points.
Tron [TRX] was trading at 0.067 after incurring a minor loss of 1.52% over the past day. At the time of writing, the crypto-asset registered a market cap of $4.94 billion and a 24-hour trading volume of $2.67 billion.
Tron [TRX] Daily Price Chart:
Tron’s downfall has been quite damaging as it reached almost two-month low levels. The 50 DMA [Pink] moved over the TRX price candles after the first major dip. Signs of potential uptick were negated after the 100 DMA [Blue] made a climb above the candlestick arrangements a week later. This renewed the selling pressure in the coin market.
The reduction in volume throughout the fact has further pushed the price of the crypto-asset into the bearish realm.
Reversal In The Offing?
TRX’s daily chart depicted a bleak near-term price movement. The Chaikin Money Flow [CMF] touched the zero line and bounced off slightly depicting a massive fall in terms of capital inflow into the coin’s market. However, the bounce could indicate the formation of crucial support which could resist further downside correction.
The MACD was in deep read indicating a phase of a significant reduction in buying demand. A similar sentiment was also observed by the RSI which was near the oversold conditions of 30-level. An uptick, however, could mean that the coin has bottomed out and a potential reversal in trend could be right around the corner.
If this materializes, the selling pressure could fade, thereby triggering a price rise in which case Tron would face stiff resistance from the moving averages at $0.09, and $0.12. Other levels of resistance stood unbreached at $0.133 and $0.164 respectively.
0.045 is an important level of support to look out for because if it cracks, the selling could intensify further with the next stop at $0.02.