Bitcoin
BTC$49 193.22

-7.23%

Ethereum
ETH$4 116.36

-1.41%

Binance Coin
BNB$561.89

-4.29%

Tether
USDT$1.001881

0.18%

Solana
SOL$196.65

-3.68%

Cardano
ADA$1.39

-8.99%

TRON (TRX) Could Be Setting Up a Bear Trap


July 2020

Those who awaited a swift and spectacular recovery on the part of TRON (TRX) must have felt disappointed with the latest price action of the 17th cryptocurrency since its USD value got appreciated only by 7% during the previous months, whereas its BTC value had only a small 4% bump over the same period.

Despite these seemingly unimpressive showings, TRON keeps on stubbornly chugging to the upside, taking a relatively long time to make new higher highs. Still, eventually, the price makes 15% to 20% bullish sprints on a regular basis. However, it also tends to have deep retracements afterward, with the average price drop after the new higher high being around 12%.

TRX stays close to the vital support level


The weekly time frame shows that TRON is at the crossroads at the moment as its price is yet to reveal its intentions with regard to the continuation of a minor uptrend that had been shaping up during the short-lived altseason in January. The structure of that uptrend had been broken brutally by the panic sale during the first global wave of the coronavirus pandemic, and for the last three months, TRX has been doing nothing but climbing steadily to the upside, having offered traders a chance to profit on two large price swings.

1-week TRX/USDT chart

It appears that TRON is gearing up for another upswing on the weekly that could result in the 20% price increase during the next four to six weeks, and subsequent interaction with a formidable historical resistance at $0.0194 - $0.02. Both MACD and RSI confirm the underlying market bullishness. MACD still remains in the bearish zone below the zero line, raising above which should provide the bulls some extra acceleration. The last time this oscillator was bullish was back in 2019, during the previous secondary uptrend.

However, there has been a significant decrease in trading volume in the last four weeks, which undermines the overall bullish outlook with regard to TRON, although it is characteristic for this altcoin to have a gradual volume drop before the bull rally.

On the daily time frame, though, the situation seems to be having a bearish undertone since the indicators, the trading volume, and the price action itself suggest that TRX is likely to have another trip to the support area between $0.0141 and $0.0147.

1-day TRX/USDT chart

MACD is once again interacting with the zero line, thus confirming the current indecision in the market that could lead to a quick drop to the established support. RSI has dropped to the neutral zone around 50 without even entering the overbought region during the last upswing. However, there is a sign of bearish divergence on this time frame, which heightens the expectation of a quick 15% slump. Nevertheless, we suspect that this might be the setup for the bear trap that would allow the whale to stock up on TRX during a quick price drop. 

1-day TRX/USDT chart  

The order book analysis reveals a very tight spread between the large orders to buy and sell, which means that the price is likely to stall for a while before testing local support at $0.015, upon which it could shoot straight up to $0.019.

Author: Alex Paulson for Crypto-Rating.com

Related

The 2025 - 2030 TRON (TRX) Price Prediction: The Long Way to All-Time High and Above
The 2025 - 2030 TRON (TRX) Price Prediction: The Long Way to All-Time High and Above
TRON (TRX) Changes Its Stance to Bearish
TRON (TRX) Changes Its Stance to Bearish
TRON (TRX): Anticipating the Resolution of Symmetrical Triangle
TRON (TRX): Anticipating the Resolution of Symmetrical Triangle
TRON (TRX): A Pullback After a Huge Bullish Spike?
TRON (TRX): A Pullback After a Huge Bullish Spike?
TRON (TRX) Stays On a Slow Course to the Upside
TRON (TRX) Stays On a Slow Course to the Upside
Tron Is Heading for a Range in April 2020
Tron Is Heading for a Range in April 2020
TRON is Under the Bears’ Thumb
TRON is Under the Bears’ Thumb
Tron (TRX) Maintains Royal Price Action
Tron (TRX) Maintains Royal Price Action
TRON (TRX) Price Prediction for February 2020
TRON (TRX) Price Prediction for February 2020

Top Cryptocurrencies with Price Predictions

# Crypto Prediction Accuracy CVIX Price 24h 7d Market Cap 7d price change
1 Bitcoin (BTC) BTC Bitcoin predictions 76.4% 50 $49 193.22 -7.23% -9.28% $929 329 350 425 BTC 7 days price change
2 Ethereum (ETH) ETH Ethereum predictions 81.2% 36 $4 116.36 -1.41% 2.01% $488 235 923 439 ETH 7 days price change
3 Binance Coin (BNB) BNB Binance Coin predictions 80.8% 32 $561.89 -4.29% -4.45% $93 723 146 872 BNB 7 days price change
4 Tether (USDT) USDT Tether predictions 92% 1 $1.001881 0.18% 0.13% $74 297 173 480 USDT 7 days price change
5 Solana (SOL) SOL Solana predictions 70% 62 $196.65 -3.68% 5.13% $60 103 456 849 SOL 7 days price change
6 Cardano (ADA) ADA Cardano predictions 64% 72 $1.39 -8.99% -7.87% $46 392 712 007 ADA 7 days price change
7 USD Coin (USDC) USDC USD Coin predictions 90.4% 2 $1.000412 0.03% 0.07% $40 042 314 055 USDC 7 days price change
8 XRP (XRP) XRP XRP predictions 70% 66 $0.833702 -8.59% -10.36% $39 390 183 603 XRP 7 days price change
9 Polkadot (DOT) DOT Polkadot predictions 62.8% 76 $28.88 -12.51% -15.64% $28 521 499 285 DOT 7 days price change
10 Terra (LUNA) LUNA Terra predictions 69.6% 62 $72.27 18.51% 68.39% $28 015 046 896 LUNA 7 days price change
11 Dogecoin (DOGE) DOGE Dogecoin predictions 66% 73 $0.173763 -11.84% -13.14% $23 003 781 874 DOGE 7 days price change
12 Avalanche (AVAX) AVAX Avalanche predictions 64.4% 75 $90.60 -13.00% -15.64% $21 989 955 830 AVAX 7 days price change
13 SHIBA INU (SHIB) SHIB SHIBA INU predictions 62.4% 76 $0.000036 -8.82% -3.38% $19 811 050 065 SHIB 7 days price change
14 Crypto.com Chain (CRO) CRO Crypto.com Chain predictions 57.6% 86 $0.599768 -2.91% -17.36% $15 151 941 276 CRO 7 days price change
15 Binance USD (BUSD) BUSD Binance USD predictions 94% 1 $1.000770 0.14% 0.03% $13 610 910 664 BUSD 7 days price change

Be the first to receive Cryptocurrency Price Predictions and Forecasts daily

Get cryptocurrency price predictions, forecasts with analysis and news right to your inbox.

© 2015-2021 Crypto-Rating.com

The usage of this website constitutes acceptance of the following legal information. Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website, including information about the cryptocurrencies and bitcoin is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Crypto Rating shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about cryptocurrencies. The entire responsibility for the contents rests with the authors. Reprint of the materials is available only with the permission of the editorial staff.