Tron price analysis: TRX/USD approaching contracting triangle breakout: Exchanges test TRX deposits and withdrawals

Tron price attempts to retrace higher above $0.040 have been thwarted by the rising selling pressure. The price lacked the momentum to maintain above $0.040 sliding back to the range with support at $0.037. It is also nearing the breakout at the narrow end of the short-term contracting triangle.

The Tron network completed its transition from Ethereum blockchain and now has been said to be safe and exchanges are testing the token for deposits and withdrawals. The process is, however, cautioned because there may be confusion between the new Tron addresses and the previous Ethereum based addresses. Tron founder Justin Sun wrote on Twitter:

“TRON mainnet upgrade has been completed. Deposit will be available from July 4, 6PM (GMT+8). TRON withdrawal service has been disabled, kindly stay tuned to our announcement for updates.”

Binance has not resumed TRX deposits and withdrawals following the issue with Syscoin (SYS). OKEx, on the other hand, has already started withdrawals and deposits of the token. The transaction speed has also increased with Tron now doing a few thousand transactions daily. The number is also expected to rise as the activities on Tron network increase.

Tron price analysis

Technically, Tron is trading at $0.038 while it is supported by the 100 Simple Moving Average around $0.0383 on the 1-hour timeframe chart. The 50 SMA is also positioned as another support at $0.0379. There is a breakout in the pipeline and trading above the 38.2% Fib retracement level with the last swing high of $0.050 and a swing low of $0.0336 at $0.040 could see TRX/USD extending the gains towards the critical resistance area at $0.050. In the meantime, the buyers must fight to maintain the 100 SMA support, besides the stochastic RSI is moving further south to signal the presence of bear pressure.

TRX/USD 1-hour chart