TRXUSD Analysis: Tron [TRX] Recovery Will Be an Uphill Task; $0.05 Remains to Be a Mirage?

tron
Source: Shutterstock

TRXUSD Analysis: Tron [TRX] Recovery Will Be an Uphill Task; $0.05 Remains to Be a Mirage?

The technical picture has a bearish bias in both the short-term and long-term timeframe as the Tron price range-bound between $0.020 and $0.024. Tron continues to languish in extreme selling pressure despite the market experiencing a shallow recovery from the levels hit last week. The daily chart displays a clear picture of an asset that has forced its way below support after support.

Tron Key Analysis points

  • Support Areas: $0.020 (Primary Support).
  • Resistance Areas: $0.024, $0.030 and $0.04.
  • MACD: Shallow divergence hints bullish correction in the near-term

TRX/USD daily chart

Tron price
Chart source: Tradingview

The ascend to June highs was incredible. Tremendous gains and sustained gains forming a higher low pattern pushed Tron to levels past $0.045. While investors hoped to see TRX above $0.05, the price formed a high at $0.04533 (Fibonacci swing high) before the retreat exodus began.

The declines initial infiltrated the ascending trendline support before forcing Tron on vital levels. The next support target at the 38.2% Fib retracement level taken between the last drop from $0.04533 to lows around $0.02 did nothing to stop the losses. Tron extended the exodus below $0.25. Luckily, an avalanche of buying power at $0.02 offered refuge to the bulls.

At the moment,

Tron is trading below March lows although there was a shallow recovery in the first week of August. The technical picture has a bearish bias in both the short-term and long-term timeframe. What is clear is the strong support at $0.020, besides Tron, is predicted to stay in a range between $0.020 and $0.024.

The Moving Average Convergence Divergence (MACD) has been stuck within the negative territory since mid-July. There is a slightly bullish divergence suggesting Tron’s ability to defend the support at $0.02. Moreover, the 50 Simple Moving Average (SMA) double-cross under the 100 SMA means that the price will make a lower consolidation.

Summary
TRXUSD Analysis: Tron [TRX] Recovery Will Be an Uphill Task; $0.05 Remains to Be a Mirage?
Article Name
TRXUSD Analysis: Tron [TRX] Recovery Will Be an Uphill Task; $0.05 Remains to Be a Mirage?
Description
The technical picture has a bearish bias in both the short-term and long-term timeframe as the Tron price range-bound between $0.020 and $0.024.
Author
Publisher Name
coingape
Publisher Logo
Coingape is committed to following the highest standards of journalism, and therefore, it abides by a strict editorial policy. While CoinGape takes all the measures to ensure that the facts presented in its news articles are accurate.
Disclaimer The views, opinions, positions or strategies expressed by the authors and those providing comments are theirs alone, and do not necessarily reflect the views, opinions, positions or strategies of CoinGape. Do your market research before investing in cryptocurrencies. The author or publication does not hold any responsibility for your personal financial loss.
Author: John Isige

John is a talented writer with over two years of experience actively contributing to the cryptocurrency industry by providing credible, interesting and easy to read the content. His main focus is on cryptocurrency price analysis and industry news coverage. Lets follow him on Twitter at @jjisige

Post your comment...
John Isige 236 Articles

John is a talented writer with over two years of experience actively contributing to the cryptocurrency industry by providing credible, interesting and easy to read the content. His main focus is on cryptocurrency price analysis and industry news coverage. Lets follow him on Twitter at @jjisige

Follow John @