TRON bulls must defend THIS support level for recovery – Can they do it?
The six-week-old range's low may be about to be tested once again.
- TRON continued to trade within a range despite the FUD across the wider market
- Range low could see a bullish reversal, but traders should be aware of volatility
TRON’s [TRX] price was not as badly affected as the rest of the altcoin market during the most recent dump. Flaring tensions in the Middle East and U.S. involvement have soured any bullish expectations in the market.
Fear of rising oil prices and escalating inflation are just few of the many investor fears.
Over the last 24 hours, Bitcoin [BTC] shed 3.68% of its value, but TRON was down by only 2.87%.
By comparison, Ethereum [ETH] and Solana [SOL] fell by 9.22% and 7.5% in the same period. The correlation matrix revealed that TRX only had a +0.32 correlation with Bitcoin, helping explain its relative steadiness in this rocky market.
Will the calm TRX facade continue on the price charts?
On the 1-day chart, a range formation (white) between $0.263 and $0.294 was plotted. Over the past six weeks, TRX has traded within this range. At the time of writing, it was heading to the range low once again.
The mid-range resistance at $0.279 rejected TRON’s bulls on 17 June. The price clung on to the 61.8% Fibonacci retracement level at $0.27, but it was forced to cede this level. The Fib levels were plotted based on the November-December 2025 rally from $0.16 to $0.45.
The OBV signaled an equilibrium between the buyers and the sellers over the past month. The RSI fell below neutral 50 to suggest that momentum was turning bearish.
The 1-month liquidation heatmap outlined the range formation of TRON. The magnetic zone at $0.264 has been swept, but it may be possible that a move to $0.261 could occur. There may also be chances of a bullish reversal.
However, even though TRX is not highly correlated with BTC’s price moves, there is a good chance that the coming days would be bearish for the crypto market. Hence, swing traders looking to long TRX should be careful of volatility.
Below $0.261, the $0.24 support level could be the next key liquidation cluster that might attract TRX’s price lower.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion
