- Tron experienced a strong rebound after breaking through a crucial resistance level.
- However, the altcoin struggled to support its recent rally with large volumes.
Tron [TRX] posted double-digit gains over the past two weeks after a convincing rally from the $0.115 support level. The resulting rally formed a bullish pattern on the daily chart.
If the bulls continue their current rally, TRX could experience an extended uptrend before a likely bearish reversal. At the time of writing, the altcoin was trading at nearly $0.128, up more than 2% over the past day.
Can TRX bulls continue this uptrend?
Source: Hyblockcapital, TRX/USDT
In the second and third weeks of May, TRX bears triggered a decline that correlated with the broader market decline. However, TRX bulls found renewed strength at the $0.111 support level.
The altcoin then saw an over 11% surge over the past two weeks as the coin broke above the crucial resistance level of $0.127 at press time. As a result, TRX closed above its 20-day and 50-day EMA on the daily chart.
The recent price movements have created an ascending channel pattern on the chart. If the bulls continue to exert pressure and sustain the price above the $0.127 support level, TRX could continue its current rally.
The $0.135 region could be the first major resistance in this case.
On the contrary, an immediate drop below the current ascending channel pattern could ease the uptrend. The first major support level would be near the 20 EMA in the $0.11 range, followed by the $0.109 level.
The moving average convergence and divergence (MACD) breaking above the zero level confirmed a strong shift in momentum towards buyers.
A sustained close of the MACD line above the immediate resistance level could extend the uptrend for a while before likely reversing.
On the other hand, the volume oscillator witnessed a streak of lower highs and lower lows as it saw a bearish divergence with TRX price.
A decrease in financing rates
Source: Coinglass
According to data from Coinglass, the TRX funding rate showed a slight downward trend and even turned negative over the past day, which demonstrated a rather declining interest from investors in the futures market.
File From the Throne [TRX] Price prediction 2024-25
However, open interest saw a surge of over 12% over the past 24 hours, which coincided with the price increase.
Buyers should be alert to the movement of Bitcoin [BTC] and assess their impact on broader sentiment before making a purchasing decision.
This is an automatic translation of our English version.
Tron (TRX) Rallies After Breaking Through Key Resistance Level: Can It Sustain the Uptrend?
Tron (TRX) experienced a significant rebound after breaking through a crucial resistance level, posting double-digit gains over the past two weeks. This bullish rally followed a convincing bounce from the $0.115 support level and formed a bullish pattern on the daily chart.
At the time of writing, TRX was trading at nearly $0.128, up more than 2% over the past day. If the current bullish momentum prevails, TRX could experience an extended uptrend before potentially facing a bearish reversal.
Can TRX Bulls Maintain the Uptrend?
Source: Hyblockcapital, TRX/USDT
In the second and third weeks of May, TRX bears triggered a decline that correlated with the broader market downturn. However, TRX bulls found renewed strength at the $0.111 support level, leading to an over 11% surge over the past two weeks as the coin broke above the key resistance level of $0.127. This move resulted in TRX closing above its 20-day and 50-day EMA on the daily chart.
The recent price movements have created an ascending channel pattern on the chart. If the bulls maintain pressure and keep the price above the $0.127 support level, TRX could continue its current rally. The $0.135 region could be the first significant resistance in this scenario.
Conversely, an immediate drop below the current ascending channel pattern could hinder the uptrend. The initial major support level would be near the 20 EMA in the $0.11 range, followed by the $0.109 level.
The moving average convergence divergence (MACD) breaking above the zero level confirms a strong shift in momentum towards buyers. A sustained closure of the MACD line above the immediate resistance level could extend the uptrend for a period before likely reversing.
However, the volume oscillator exhibits a bearish divergence with TRX price, showing a series of lower highs and lower lows. This suggests potential weakness despite the recent price gains.
Declining Funding Rates
Fuente: Coinglass
Data from Coinglass reveals a slight downward trend in the TRX funding rate, even turning negative over the past day. This indicates a declining interest from investors in the futures market. However, open interest saw a surge of over 12% over the past 24 hours, coinciding with the price increase.
Buyers should pay close attention to the movements of Bitcoin (BTC) and assess their impact on broader market sentiment before making any purchase decisions.
This is an automatic translation of our English version.