- Tron price remains stable after the rejection at the critical $0.0120 resistance.
- Tron Community eyes the stablecoin market with a USD-pegged digital asset referred to as USDJ.
Tron price is in consolidation in the middle of key Bollinger Band levels; the upper curve and the middle curve. The price has been on a steady and gradual recovery from the lows traded on March 12 at $.0.0072. At the time of writing, TRX/USD is teetering at $0.01173 while the upside has been capped at $0.012.
The Relative Strength Index (RSI) in the daily rage has slowed down the uptrend in favor of sideways action. The horizontal movement is reminiscent of the consolidation in the market. On the other hand, Tron is trading below the Simple Moving Averages (SMAs). Due to the 50 SMA slide under the 200 SMA, TRX/USD is likely to break down and retest the support at $0.010.
On the brighter side, the constricting Bollinger Band hints that a breakout is around the corner. Therefore, the best the bulls need to do in the near term is to push the price above the critical resistance at $0.012; a move likely to culminate in a rally as buying interest increases on improving sentiments.
Tron enters the stablecoin market with USDJ
Tron founder Justin Sun on Saturday revealed the network’s plan to launch a stablecoin digital asset that will be backed by both Tron (TRX) and BitTorrent (BTT). The new digital asset would be designated the name USDJ and will be pegged to the US dollar. The system executing the stablecoin is referred to as Djed. It is a MakerDAO-like system whose white paper reads in part:
USDJ is a new currency generated through decentralized smart contracts on the TRON network. Anyone can pledge TRX as collateral to generate USDJ. USDJ enters into free circulation as any other cryptocurrency does once generated. It is pegged to the US dollar through Collateralized Debt Positions (CDPs), and also has autonomous feedback mechanisms.
TRX/USD daily chart
 (11)-637214175455207305.png)
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Crypto traders brace for short-term volatility with $2.4 billion options expiry on Friday
Bitcoin and Ethereum options market looks bullish on Friday, according to data from intelligence tracker Greeks.live. The firm said it has identified two Bitcoin calls that show an underlying bullish sentiment among market participants.
XRP recovers from week-long decline following Ripple’s response to SEC motion
Ripple filed a letter to the court to support its April 22 motion to strike new expert materials. The legal clash concerns whether SEC accountant Andrea Fox's testimony should be treated as a summary or expert witness.
Lido adds 4% gains as protocol rolls out first step towards decentralization
Lido takes the first batch of simple DVT validators to live, a step taken to decentralize the protocol. Lido leveraged technology to expand the protocol to multiple node operators, inviting both solo and community stakers.
Bitcoin Weekly Forecast: Should you buy BTC here? Premium
Bitcoin (BTC) price shows signs of a potential reversal but lacks confirmation, which has divided the investor community into two – those who are buying the dips and those who are expecting a further correction.
Bitcoin: Should you buy BTC here? Premium
Bitcoin (BTC) price shows signs of a potential reversal but lacks confirmation, which has divided the investor community into two – those who are buying the dips and those who are expecting a further correction.