Tron Price Analysis: If the Bulls Do Not Wake Up, Another 35% Drop May be Seen for TRX/USD
- TRX/USD is subject to another deep fall given the current technical structure.
- News flow around Tron remains encouraging, following support from another exchange, Huobi.
- Social media space continues to get excited about Kobe Bryant being a key speaker at the Tron summit in 2019.
TRX/USD over the past few weeks has been a victim of hard selling pressure. This is no thanks to a broader stubborn bear market. Vital support levels have been broken across the board, which has continued to leave doors open to further waves of selling. Many market participants could be very much panicking, as the price falls deeper in uncharted territory. As noted on several occasions, the decline is in lockstep with other cryptocurrencies.
Recent Tron Related News Flow
Earlier in the week, Huobi, a Singapore-based cryptocurrency exchange, announced their support for TRX. Holders of TRX, can store their assets within the Huobi app while still being able to control their own private key at the simultaneously. In addition, it will be offering a bounty program. The TRX users who will store their tokens in the Huobi Wallet have the opportunity to share 400,000 of TRX with other users. In terms of the share of the bonus, that will be decided on the basis of the size of an individual’s TRX assets.
Elsewhere, as covered in a prior article, Tron will be hosting a summit in San Francisco called ‘niTROn’. It was further announced, as covered by the CCN team, that NBA legend Kobe Bryant has been confirmed for a high-profile speaking slot at niTROn 2019. This has sparked speculation that Kobe Bryant may become a future spokesperson for Tron.
Technical Review – TRX/USD
Price action of late for TRX/USD has stabilized somewhat, but is still very much vulnerable to a further attack from the bear camp. A technical structure that has continued to form across the board, with several cryptocurrencies, is the bearish pennant pattern. This being the case given this stubborn downward trend. The market is dropping, then consolidating and forming the pennant, which has seen the bears pierce the structure to bring another wave of selling. This process has been on repeat for quite some time now.
A firm breakout of the above-mentioned formation, which would see a move out of the $0.01300 territory, could be very punishing. If judging by the current pole of the pennant that has formed since the start of the big sell-off on 7th November, the next drop may be huge. The pole has a percentage value of around 35%. Any breakout from the pennant structure, could in hindsight playing by the textbook, resulting in another fall equivalent. Should that actually materialize, TRX/USD could be forced down to $0.004063.
Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
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