Tron Price Key Highlights
- Tron is on another leg lower but might be due for a bounce off the nearby support zones.
- Price has tumbled through most of the Fib extension levels but is still due to test the channel support and full extension.
- Technical indicators are showing mixed signals, with oscillators hinting at a bounce.
Tron has been in selloff mode for the past few days but might be able to bounce off these nearby support areas.
Technical Indicators Signals
The 100 SMA is still below the longer-term 200 SMA on this time frame to indicate that the path of least resistance is to the downside. This confirms that the selloff is more likely to resume than to reverse.
Also, the gap between the two is widening to reflect strengthening bearish momentum. The 100 SMA is also near the top of the descending channel on the 1-hour time frame to add to its strength as resistance in the event of a pullback.
Tron might be due for a bounce off current levels as price is hovering at the 78.6% extension. The full extension is located at 0.034 but Tron could also find some support at the bottom of the channel around 0.035.
RSI has been lingering around oversold territory for quite some time, which reflects exhaustion among sellers. Turning higher could draw buyers in and Tron could follow in the climb. Stochastic is also sitting in the oversold region but has yet to move back up to signal a pickup in buying pressure.
TRXUSD Chart from TradingView
Cryptocurrencies are erasing part of their gains from the previous week after a few American economists, namely Joseph Stiglitz, Nouriel Roubini and Kenneth Rogoff, gave negative remarks on bitcoin.
In an interview with Financial News, Stiglitz cited:
“You cannot have a means of payment that is based on secrecy when you’re trying to create a transparent banking system. If you open up a hole like bitcoin then all the nefarious activity will go through that hole, and no government can allow that.”
