Analysis

TRON’s next target on the price charts is…

The CVD began to climb higher ten days ago after a pullback to $0.066, denoting strong demand behind TRX.

Published

2 years ago

on

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

  • The daily market structure of TRON was flipped bullish in early May.
  • A slump in BTC prices could negatively impact sentiment behind TRX.

Since 9 May, Bitcoin [BTC] faced intense resistance around the $28k mark. The bears forced BTC to repeatedly test the $26.7k area as support. It was likely that each retest weakened the buyers, building up to a strong move downward. This could undo the vast strides that TRON made on the price charts in recent weeks.

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

Despite the weakness of BTC, TRX bulls have achieved a significant breakthrough in the past week. A year-long resistance level was broken, and a retest of this level as support could offer a buying opportunity.

The surge past the daily bearish order block meant further highs were in sight

Source: TRX/USDT on TradingView

On the daily timeframe, the market structure was flipped bullish on 2 May, after a daily session close above the $0.069 highs from 14 March. Following this shift in structure, TRX advanced to test the resistance at the $0.07 level. It was also the area where a bearish order block from February sat at.

The $0.0705 level also represented a resistance that was a support in June 2022, but was not breached since then. Therefore, the move past this resistance in the past few days was massively important for traders and investors.

The next notable resistance regions for TRON lie at $0.08-$0.082 and $0.088-$0.09. These levels acted as resistance in May and June of 2022 before TRX bears took over. It was possible that a similar outcome could occur in June 2023.

The RSI showed strong bullish momentum and the CMF showed remarkable capital inflow to the markets with a reading of+0.24.

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

The rising Cumulative Volume Delta showed when the buyers began to push prices higher

Source: Coinalyze

After the D1 market structure was flipping bullish on 2 May, the price faced rejection from the $0.07 resistance on 5 May. This saw a higher low form at $0.066 on 11 May before the swift move upward that was witnessed in the past four days.

The spot CVD began to ascend on 12 May after facing a downturn from 6 May onward. This metric continued to rise over the past ten days, showing steady demand behind TRX. The Open Interest also surged by close to $40 million over the past four days.

Alongside the 12.4% gains, the advance in OI showed strong bullish sentiment among speculators.

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