Tron [TRX] climbed to levels last seen in mid-May after experiencing a run higher as a favourable tailwind in the wider cryptocurrency market boosted the bulls. The crypto-asset breached a significant resistance level which caused upside aided by the increasing volatility in the market. Overall, the recovery has been impressive. However, TRX’s positive rally might come to an end as TRX slumped after a three-month.
Tron [TRX] was down by 5.75% over the last 24-hours which drove its price to $0.085. At the time of writing, the crypto-asset registered a market cap of $6.08 billion and a 24-hour trading volume of $1.15 billion.
Tron [TRX] Daily Price Chart:
After weeks of a continued uptrend, TRX bulls appeared to be taking a breather. The latest downtrend comes right after the 200 DMA [Yellow] underwent a bearish crossover with the 100 DMA [Blue]. While the moving averages slipped below the candlesticks depicting a bullish phase, the ongoing market trend did not appear to be promising. If the upsloping 50 DMA [Pink] manages to reclaim its position above the 200 DMA, Tron could finally target the yearly highs again.
The low volume, on the other hand, posed a major hindrance to the digital asset’s growth.
The Chaikin Money Flow [CMF] made a reversal in tandem with the price action indicating a minor slump in capital inflow. The MACD was also on the verge of sustaining a bearish crossover as being demand faded. The Relative Strength Index’s [RSI] drop from the extreme overbought region further suggested that TRX buyers face resistance as profit-taking is likely to occur, and the rally will lose steam.
Tron topped out at $0.093 a crucial resistance level, which if breached, will set the stage for more upside. Immediate resistance levels following this stands at $0.152 and $0.164 respectively. However, if selling pressure intensifies, TRX could retest $0.075, $0.066, and $0.050