Tron [TRX] has depicted moderate signs of recovery along with the rest of the cryptocurrency market. TRX was hovering a little above a crucial area of support after it suffered weekly losses of more than 8%. Even as the digital asset saw a bullish start to the day, a reverse could the lower levels back into play.
It had maintained consolidatory movement since the beginning of April as it breached multi-year highs. The momentum faded after subsequent correction and the token was pushed back to the 22nd spot on the leaderboard.
Tron [TRX] was trading at $0.117 after a minor uptick of 0.49% over the past 24-hours. At the time of writing, the crypto-asset registered a market cap of $8.39 billion and a 24-hour trading volume of $2.70 billion.
Tron [TRX] Daily Price Chart:
The formation of a descending triangle did not present a promising path ahead for Tron [TRX]. This pattern, by convention, depicts a bearish flip in the offing which could lead the coin to test key support levels.
The 50 DMA [Pink] rising above the TRX candles also marked the increasing bearish pressure in the market which could resist upward attempts. While the upsloping 100 DMA [Blue] continued to tread below the candlestick arrangement, the reducing volume, however, failed to support the moderate signs of recovery in the token’s price.
The dotted markers of Parabolic SAR was hovering above the TRX candles and resisted an upward price movement.
The MACD also gave a bearish crossover and the rising gauge between it and the signal line evidenced a phase of declining buying demand in the market.
The RSI, too, fell back after forming a lower high in tandem with the price action of the digital asset. It was currently below the 50-median line depicting an increasing sentiment of selling pressure among the investors in the market.
If Tron manages to break the immediate level of resistance of $0.133, it could target its next point at $0.164. However, the technicals are not in the favor of bulls hence, there is a high chance of reversal which could prompt a slide to $0.10 level. If the crypto fails to defend this level, it risks a correction all the way down to $0.05-area.