TRON (TRX) has shown a key technical setup that could indicate an upcoming surge in price. As of press time, the token was trading at $0.245, down by 1.98% in the last 24 hours.
However, with the price testing, a crucial support level is near $0.24. TRX could be poised for a potential rebound, with analysts targeting price levels between $0.30 and $0.35.
TRX has recently broken out from a falling wedge pattern on the daily timeframe. Its price is now testing a critical support zone around $0.24. This trendline support has previously shown strong reactions, making it an important level for price action.
If TRX can hold above this support, the likelihood of a bullish continuation increases. Potential upward targets are around $0.30 and $0.35. The most recent price fluctuations highlight the importance of this zone. The current price is lingering just above this significant support line.
Tron (TRX) Bullish scenario: Breaking resistance
In a successful breakout, TRON could experience a surge to the next key resistance levels. The descending triangle formation is still in play. The price could break above the downward-sloping resistance line, signaling the start of an upward movement.
Analysts are watching closely for signs that the price will push above this resistance, with targets set at $0.30 and $0.35. Should TRX manage to maintain its position above the critical support zone, these levels are seen as the next logical price points for a bullish continuation.
RSI and MACD indicators: Caution and opportunity
The Relative Strength Index is currently at 30.26 and close to the oversold range. This could point to a rebound, but the direction of the RSI continues to be bearish, which means the market sentiment is neutral to bearish. If the oversold condition is approached further with the RSI, then it may be defined as TRX being oversold, and it is the right time for buyers to enter the market.
Moreover, the MACD indicated negative momentum at the same time. The MACD and the signal lines are still in negative territory; the histogram adds bearish pressure to the chart. Nonetheless, concerning these signals, an overly bullish RSI may indicate a buying signal, though this can well lead to setting the pace for the actual price jump.
Volume trends and liquidity
The trading volume of TRON is at $3,434,694, down by 15.95% in the last 24 hours, thus reigning in the consolidation period. Reduced volume, however, can suggest that investors are waiting for the market to advance to the next level.
The TRON liquidity file is stable: the circulation supply is 86.18 billion TRX, sufficient for the market to adjust price fluctuations.
