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HomeAltcoin NewsTron (TRX) Price Analysis: Remains At Risk Of Downside Break

Tron (TRX) Price Analysis: Remains At Risk Of Downside Break

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  • Tron price is facing a major resistance near the $0.0200 and $0.0204 levels against the US Dollar.
  • TRX price is struggling to stay above the key $0.0185 support area.
  • There is a major bearish trend line forming with resistance near $0.0195 on the 4-hours chart (data feed via Bitfinex).
  • The price could start a substantial decline if it fails to stay above the $0.0185 support area.

TRON price is trading in a contracting range against the US Dollar and bitcoin. TRX price remains at a risk of a downside break if it continues to struggle near $0.0204.

Tron Price Analysis

After a strong rally, TRON price started a steady decline from the $0.0235 resistance against the US Dollar. TRX price traded below a couple of important supports near the $0.0215 and $0.0204 levels to enter a bearish zone.

Moreover, there was a close below the $0.0204 level and the 55 simple moving average (4-hours). On the downside, the $0.0185 level is acting as a strong support. The recent low was near $0.0184 before the price started an upside correction.

Tron is currently trading above the $0.0190 level. Additionally, it climbed above the 23.6% Fibonacci retracement level of the recent decline from the $0.0208 high to $0.0184 low.

However, there are many resistances on the upside near the $0.0195 level and the 55 simple moving average (4-hours). More importantly, there is a major bearish trend line forming with resistance near $0.0195 on the 4-hours chart.

The trend line also coincides with the 50% Fibonacci retracement level of the recent decline from the $0.0208 high to $0.0184 low. If there is an upside break above $0.0195 and $0.0200, the price could correct higher towards the $0.0204 resistance area.

To start a fresh increase, tron price needs to surpass the $0.0200 and $0.0204 resistance levels. A clear break above the $0.0204 might set the pace for a decent upward move towards the $0.0225 and $0.0230 levels.

Conversely, the price could break the $0.0185 support area to move further into a bearish zone. In the mentioned case, the price is likely to revisit the $0.0168 support area in the near term.

Tron Price
Tron Price

The chart indicates that TRX price is struggling to hold the key $0.0185 support area. If the bulls continue to face resistance near the $0.0200 and $0.0204 levels, there is a risk of a downside break below the $0.0185 support.

Technical Indicators

4 hours MACD – The MACD for TRX/USD is slowly losing momentum in the bullish zone.

4 hours RSI – The RSI for TRX/USD is currently declining and it is well below the 50 level.

Key Support Levels – $0.0185 and $0.0168.

Key Resistance Levels – $0.0195, $0.0200 and $0.0204.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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