Tron (TRX) has increased by 35% over the past four days, breaking out from a four-month pattern in the process.
TRX has been increasing inside an ascending parallel channel since Jan 21. It made an attempt at breaking out on March 31 but was rejected by the resistance line of the channel (red icon).
Despite the rejection, it initiated another upward movement on April 6 and managed to break out on May 4. It is possible that the increase is a result of TRON launching its crypto-backed stablecoin this month.
The price is currently trading at the 0.382 Fib retracement resistance at $0.082. If it is successful in moving above it, the next resistance would be at $0.091. This is the 0.5 Fib retracement resistance level and a horizontal resistance area.
Future movement
Technical indicators in the daily time frame support the continuation of the upward movement. Both the MACD and RSI are increasing, the former is positive and the latter is above 50. These are all considered signs of a bullish trend.
Therefore, they indicate that the continuation of the upward movement towards the aforementioned resistance at $0.092 is likely.
Additionally, the six-hour time frame shows that TRX has already broken out from a descending resistance line (green icon).
Therefore, these two time frames are in alignment with the continuation of the upward movement.
TRX/BTC
Cryptocurrency trader and investor @livercoin tweeted a chart of TRX, stating that the current rally could be significant due to the deviation and reclaim of the ₿0.000015 area.
Since the tweet, TRX has reached the descending resistance line but has yet to break out. Until now, the line has been in place for 382 days.
Both the RSI and MACD are increasing, supporting the possibility of a breakout.
Due to the fact that the line has been in place for such a long time, a breakout above it would likely indicate that the correction is over.
For Be[in]Crypto’s latest Bitcoin (BTC) analysis, click here
Trusted
Disclaimer
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
