• Tron price breaks above and retests the descending trendline, signaling a bullish market structure.
  • On-chain data shows that TRX active accounts activity is rising, signaling greater blockchain usage. 
  • A daily candlestick close below $0.112 would invalidate the bullish thesis.

Tron (TRX) price has surged above and retested the descending trendline, indicating a bullish market structure. On-chain data reveals increasing activity among TRX active accounts, suggesting heightened blockchain usage that may fuel an impending rally in Tron’s price.

Tron price looks promising

Tron's price broke above the descending trendline on Saturday and retested it as support on Monday. This trendline is drawn by joining multiple swing high levels from the end of February to mid-June. At the time of writing, TRX is trading at $0.119, above the daily support level of $0.118.

If this support holds, TRX could rally 7% to retest $0.127, which is high on May 11.

On a daily chart, the Relative Strength Index (RSI) and the Awesome Oscillator (AO) support the bullish thesis by being above their respective mean levels of 50 and zero. These momentum indicators strongly indicate bullish dominance.

If TRX closes above $0.129, a 61.8% Fibonacci retracement level drawn from a swing high in February to a swing low in April, then it could extend an additional rally of 12% to retest the $0.144 high of February 27.

TRX/USDT 1-day chart

TRX/USDT 1-day chart

Data from the TRONSCAN Daily Active Accounts chart shows the number of TRON accounts, including wallet and contract accounts, that had transfer records during the specified period. The rise in the metric signals greater blockchain usage, while declining addresses point to lower demand for the network.

In Tron’s case, the daily active accounts on TRON have been 2.56m in the past month.

In the last month, daily active accounts on TRON have increased by 14.43%. This rise indicates that demand for TRX’s network is growing, which could rally Tron's price.

Tron Daily Active Accounts chart

Tron Daily Active Accounts chart

However, if TRX's daily candlestick closes below $0.112 and establishes a lower low on the daily timeframe, it may signal a shift in market dynamics that favors bearish sentiment. Such a change could invalidate the bullish outlook, leading to a 7% decline in Tron’s price to retest its previous support at $0.105.


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.

Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Three reasons why Chainlink could rally

Three reasons why Chainlink could rally

Chainlink has noted accumulation by large wallet investors for the past two weeks. Nearly $110 million in LINK has been withdrawn from exchanges in this time period. LINK sustained above $13 on Sunday, extending gains by nearly 1%. 

More Chainlink News

Ripple holds on to double-digit gains, highest in top 20 cryptocurrencies

Ripple holds on to double-digit gains, highest in top 20 cryptocurrencies

Ripple rallied over 19% in the past seven days per CoinGecko data. The altcoin broke past resistance at $0.50 on the one-year anniversary of Judge Analisa Torres’ XRP ruling. 

More Ripple News

Bitcoin breaks $60,000 as market anticipates re-election of pro-crypto former President Trump

Bitcoin breaks $60,000 as market anticipates re-election of pro-crypto former President Trump

Bitcoin extended gains post the shooting at the rally of US Presidential candidate Donald Trump. The former President is a pro-crypto candidate, and a report by Fortune shows that Trump’s chances of winning the race increased after the Saturday events.

More Bitcoin News

Ethereum ETF launch could push Ether to new all-time high, on one condition

Ethereum ETF launch could push Ether to new all-time high, on one condition

Ethereum (ETH) traders are watching two key events closely: the anticipated approval of the Spot Ether ETF and the activities of whales, the large wallet investors holding ETH. An analyst has predicted that the odds of Spot Ether ETF is 72.7% this week. 

More Ethereum News

Bitcoin: Investors wonder if BTC troubles are behind

Bitcoin: Investors wonder if BTC troubles are behind

Bitcoin (BTC) stabilized around the $57,000 mark this week, while the German Government persists in transferring Bitcoin to exchanges. Concurrently, US spot Bitcoin ETFs have recorded inflows. On-chain analytics indicate that whales are accumulating BTC during dips, potentially foreshadowing an imminent rally in the days ahead.

 

Read full analysis

BTC

ETH

XRP