TRX/USD has traded near $0.052 but a bearish flip could take it to lows of $0.043
Tron (TRX) is trading at $0.052 against the US dollar, about 1.5% in the red over the past 24 hours. The 28th ranked cryptocurrency has a market cap of $3.7 billion and has seen about $1,549,192,088 worth of the token exchanged in intraday trading volumes.
As the technical picture suggests, TRX is trading with a bullish bias within an ascending triangle. An optimistic view across the market could see buyers target gains near $0.060.
The bullish scenario is also due to the overall market sentiment about Tron. Many investors see TRX as an undervalued asset at current prices. This view suggests that even with another pullback, TRX/USD could still see significant price appreciation to reach new highs alongside broader adoption.
According to Tron founder Justin Sun, the latter view is more likely given Tron’s total value asset and total value locked in staking.
In a tweet shared earlier last week, Sun had noted:
“Current total value asset of #TRON is 20 BIL & TVL is 5 BIL which is way more than the current #TRX valuation of 4.88 B! What other crypto asset in the world is so undervalued?! It’s a steal to buy #TRX now!”
Tron price analysis
With TRX/USD trading around $0.052 against the US dollar, bulls have managed to keep prices above the 20-day exponential moving average and the support trend line of an ascending triangle pattern.
TRX prices have even bounced to highs of $0.0534 on the day, with the long tail on the red candlestick showing bulls’ aggressive buying when prices dipped below the aforementioned support zones.
Two successive green candles above the 20-day EMA ($0.052013) suggest buyers might succeed in keeping prices in an uptrend and push TRX towards a bullish breakout.
This will need bulls to take initiative near $0.053, breaking above the triangle’s resistance line ($0.0537). If this happens, the TRX/USD pair could spike towards $0.056 and $0.060.
On the downside, bears are likely to re-energize if prices drop below the key support zone at $0.051.
The bearish scenario could gather momentum if the RSI turns down and begins to slant away from the midpoint. Currently, the indicator is reading 56 to suggest bulls retain the upper hand.
The MACD also remains in the positive zone, but the bearish flip shown by the red bars of the histogram will strengthen if the indicator crosses below the signal line.
In this case, TRX/USD could drop to initial support at $0.048, with additional downward pressure allowing bears to revisit the $0.043 zone.