Market Updates: TRX Macro Outlook – Support Found?
On the weekly chart Tron has had a lot of selling momentum since the conference early this year and the TRX price has suffered. It has been non-stop breaking a multi-year level at 314 sats which eventually saw it fall to 167.
As we can see the trading history and supports at these levels are limited due to the fact that when TRX moved off its bottom in the low 10’s and 20’s from 2017 it went on a parabolic run without stopping many times for a break. Thus trades in this area for longs are knife catches by definition since there isn’t a bottom to pinpoint and target.
Assuming that the 167 was the bottom we can also assume that a rally could easily be halted at 314 due to the amount of interactions and the strength of the interactions at those levels as buyers at those levels look to get out. Selling has slowed in recent weeks however so it’s possible we see a relief rally to those levels.
On the daily chart TRX had lost a multi-year support which saw it immediately follow up with a further 50% drawdown. It recently found some support and had a bounce before almost retracing the entire bounce and putting in a higher low.
However, looking at the structure the 230 area may provide some resistance and if a sell off confirms there it could be assumed that it was another bearish retest and that a visit of the lows or lower would be coming in. A flip of 230 could see a visit back towards the low 300’s where price will likely struggle to reclaim during it’s first few interactions with it.
Ultimately as there is not much support in this area or below due to the lack of historical trading here it is a risky long with what could be a lot of resistance ahead.
Check out our Live TA Platform for all the latest charts and updates!
For more Market Updates similar to this article covering the TRX Price click here.
Pentoshi is a macro trend trader who specializes in price action technical analysis utilizing high time frame pivots. A full time Crypto trader who is now directing focus on trading education.
Follow him on Twitter
The Daily Chain
Inform. Educate. Succeed