Tron (TRX) Price Analysis: Smaller Consolidation at Long-Term Triangle Bottom
It looks like Tron traders are just holding out for the next round of updates as price is forming a tighter consolidation pattern at the bottom of its descending triangle. A symmetrical triangle can be seen as price made lower highs and higher lows.
An upside break could take Tron up to the top of the descending triangle around 0.065 while a downside break would also mean a move below support of the longer-term consolidation. This could send Tron much lower by the same height as the triangle pattern, which spans 0.060 to 0.080.
The 100 SMA is below the longer-term 200 SMA to signal that the path of least resistance is to the downside, but a new crossover appears to be looming. If that happens, bullish pressure could kick in and lead to a move higher.
RSI is also pointing up to reflect the presence of bullish momentum while stochastic is heading up so Tron could follow suit. However, both oscillators are nearing overbought levels to signal weakening bullish momentum. For now, both moving averages are also holding as dynamic resistance.
Tron continues to be listed on more exchanges and the team has been pursuing more partnerships, but investors appear to be waiting to see how the latest mainnet launch turns out before reestablishing positions.
There have also been several technical updates in the past week, in terms of structure, consensus, and the wallet. Also, right after the release of mainnet, Tron announced a bug bounty program for traders worth $10 million.
Odyssey 2.0, Tron’s new mainnet independent of the Ethereum platform, increases the overall throughput of the platform to over 1000 TPS while charging little or no cost for transactions compared to Ethereum’s <25TPS issue and high transaction rate.
Analysts expect a big surge in price soon as the company recently welcomed Taihao Fu, a engineer who previously worked for IBM, as part of its development team.