Connect with us
Active Currencies 13980
Market Cap $2,470,610,305,816.55
Bitcoin Share 51.74%
24h Market Cap Change $5.73

A new break for Tron on the charts will take it…

2min Read

The Open Interest declined along with the price, with the same hinting at discouraged Tron buyers in the market.

A new break for Tron on the charts will take it...

Share this article

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.

  • Intense selling pressure saw bulls lose key support levels
  • Declining OI and Spot CVD hinted at more shorting opportunities

The break of the trendline and support confluence by Tron’s [TRX] bears could signal a shift in momentum for TRX. The altcoin dropped by 12% over the past 24 hours, as intense selling pressure saw the price break through the $0.0711-price zone.


Read TRON’s [TRX] Price Prediction 2023-24


Tron’s price movement was in sharp contrast to Bitcoin [BTC] which posted 1% gains over the same period. Especially as the king coin looked to reclaim $26k.

Bullish momentum curtailed at $0.0857-resistance

Source: TRX/USDT on Trading View

Tron’s strong bullish momentum since 26 April saw it smash year-long resistance levels at $0.0711 and $0.0787. However, the $0.0857-resistance level proved one step too high for bulls. The price rejection at the resistance level ushered in a wave of selling pressure.

Bears immediately reclaimed the $0.0787-resistance level on 5 June. A retest of the reclaimed resistance level produced more downside for Tron with two large bearish candles on the 12-hour timeframe breaking the bullish support confluence at the $0.0711-price zone. However, bulls were able to find support at the $0.0672-support level with the price at $0.0697, as of press time.

Based on Tron’s recent price action, sellers could look to extend their gains with a retest of the $0.0711-level. More dips for TRX will flip its market structure bearish in the long term with bears targeting $0.0672 and $0.0627 as support levels.

On the flip side, bulls could rebound from the support level and push to quickly reclaim the $0.0711 and $0.0787-levels. This could see the price consolidate in a range before another significant price movement.

Declining Open Interest showed discouraged bulls

Source: Coinalyze

A look at the Open Interest (OI) data from Coinalyze revealed that buyers could be exhausted. The OI maintained a steady decline from 3 June as the price dipped aggressively.


How much are 1, 10, or 100 TRX worth today?


A decline in price and open interest hinted at discouraged traders with long positions. This is a sign that a continuation of the bearish trend could be imminent. The Spot CVD also echoed the market sentiment with a significant decline over the same period. This highlighted waning demand behind TRX.

Share

Saman Waris works as a News Editor at AMBCrypto. She has always been fascinated by how the tides of finance and technology shape communities across demographics. Cryptocurrencies are of particular interest to Saman, with much of her writing centered around understanding how ideas like Momentum and Greater Fool theories apply to altcoins, specifically, memecoins. A graduate in history, Saman worked the sports beat before diving into crypto. Prior to joining AMBCrypto 2 years ago, Saman was a News Editor at Sportskeeda. This was preceded by her stint as Editor-in-Chief at EssentiallySports.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.

Thank you for subscribing to Unhashed.