Cryptocurrencies

Tron Price Prediction: TRX Soars To Three-Year Highs On Strong Sentiment

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Written By: Michael Abadha
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    Summary:
  • Tron price is on a rally after the SEC lost a key battle in its case against Tron Foundation and Justin Sun, but ATH is still some way off.

Tron price continued with its hot streak on Tuesday, rising by more than 10 percent to reach the highest level since April 2021. TRX traded at $0.152 at the time of writing, extending its steep upward trajectory that goes back two weeks. These exploits have seen Tron displace Cardano (ADA) from the Top 10 crypto market capitalization ranking, with its market cap at $13.2 billion. Furthermore, its gains in the last seven days stood at 19.9 percent at the time of writing, and its 24-hour volume was up by 142 percent, signifying a strong bullish momentum.

The current momentum propelling Tron price is attributed to the Tron Foundation and Founder Justin Sun’s recent court win against the Securities and Exchange Commission (SEC). A Federal Judge in New York ruled against the SEC’s motion to speed up the fraud case against Tron and Sun, with its arguments for a pretrial conference built on the “common enterprise” aspect of the Howey Test. Judge Ramos ruled in favour of Tron, whose legal team had argued that it had not challenged the  “common enterprise” aspect of the Howey Test.

In the case filed in April, Tron has argued against the SEC’s jurisdiction in challenging its sale of TRX and BTT tokens to clients outside the United States. In its responses, Tron argues that the SEC’s plea is tantamount to imposing US securities laws to investors outside the nation.

Momentum indicators

On the TRX price chart below, the asset has recently crossed above the upper Bollinger Band, signifying the strong bullish control.  However, for that momentum to be sustained, TRX will need to stay above the 1.150 psychological support level. Meanwhile, the upside view is supported by the Stochastic oscillator, which reads 80. That said, it is also a caution that the crypto could have been overbought, and could potentially experience a weaker upside momentum.

Support and resistance levels

The 30-minute TRX chart favours control by the bulls above 1.152, which will likely serve as the pivot mark. In that case, the first resistance will likely come at 1.155. However, extended bullish control will enable them to break above that barrier and potentially test 1.580. Alternatively, a move below 1.152 will favour the sellers to take control, with the resulting momentum likely to find the first support at 1.482. However, extended bearish control could strengthen the downward momentum to break the first support, resulting in the invalidation of the upside narrative. Also, that could extend losses to test 1.453.

This post was last modified on Aug 21, 2024, 08:17 BST 08:17

Written By: Michael Abadha

Michael is a self-taught financial markets analyst, who specializes in analysis of equities, forex and crypto markets. He draws his inspiration from the fact that markets provide an interface through which the world interacts in search of a better tomorrow.

Published by
Written By: Michael Abadha