Tron Crypto Outperforms Market! Analysis for August 22, 2024

Tron Outperforms Crypto Market, Breaks Yearly High. Let’s Take a Look at the Future Outlook for TRX Price.

Tron (TRX) Status

After hitting a low of $0.045, Tron began an uptrend, partly driven by the broader cryptocurrency market. Upon reaching $0.145, Tron faced bearish pressure that sent it all the way down to $0.11. It was at this price level that the coin bounced back, continuing its uptrend to reach a high of $0.16. It is important to note that this happened while the entire cryptocurrency market was losing interest. This resurgence can be attributed to the fact that DeFi on the Tron blockchain has recently attracted liquidity.

At the time of writing, Tron is trading around $0.15. The short-term trend of this cryptocurrency is bullish, and the medium- to long-term trend also remains positive. These observations can be supported by the fact that the cryptocurrency is above its 50-day and 200-day moving averages. However, it is interesting to note that the breakout of TRX’s last high seems to have sparked selling pressure, as evidenced by the ongoing correction in the crypto. Buying support is therefore desirable to preserve the bullish momentum clearly visible in Tron’s price as well as its oscillators.

The current technical analysis was carried out in collaboration with Elie FT, a passionate investor and trader in the cryptocurrency market. Now a trainer at Family Tradinga community of thousands of self-employed traders active since 2017. You will find Lives, educational content and mutual assistance around the financial markets in a professional and friendly atmosphere.

Focus on TRX/USDT derivatives

Although revised downward recently, Tron’s recent bullish movements have led to an increase in open interest in TRX/USDT perpetual contracts. Coupled with an also increasing CVD, this suggests increasing speculator interest, mostly oriented towards buying. Interestingly, this phenomenon occurred after a period where these indicators showed moderate interest, accompanied by negative funding rates. This could explain the significant liquidations observed during Tron’s latest surge.

The three-month heatmap of TRX/USDT liquidations shows that the crypto bounced off the liquidation zone at $0.117. This triggered buying interest that pushed Tron towards $0.16. Currently, the notable liquidation zones are mostly below the current price of the crypto. First, the zone between $0.12 and $0.13 can be noted, and then, further down, the zone between $0.11 and $0.116. The approach of the price towards these levels could trigger a massive trigger of orders, increasing the risk of a period of increased volatility for the crypto. Therefore, these zones represent a crucial point of interest for investors.

Tron (TRX) Price Hypotheses

• If the Tron price holds above $0.145, we could anticipate the crossing of $0.166. The next resistance to consider, if the bullish movement continues, could be at $0.176, and beyond that, we can note $0.184. At this point, this would represent an increase approaching 23%.

• If Tron price fails to hold above $0.145, we could be looking at a return to the $0.137 levels. The next support to consider, if the bearish move continues, would be around $0.126. Further down, we can note the support at $0.117. At this point, this would represent a decline of around 22%.

Conclusion

Tron has seen a bullish recovery despite a cryptocurrency market losing momentum, supported by the influx of liquidity into DeFi on its blockchain. The trend remains positive in the short, medium and long term, although the emergence of selling pressure indicates the need for buying support to maintain this momentum. Thus, it will be crucial to carefully observe the price reaction at the various key levels to confirm or deny the current hypotheses. It is also important to remain vigilant against potential market “fake outs” and “squeezes” in each scenario. Finally, let us remember that these analyses are based solely on technical criteria and that the price of cryptocurrencies can also evolve rapidly depending on other more fundamental factors.