TRX/USD: Recent Price Behavior
The Tron price is back to moving within consolidation mode after taking a hard beating from the market bears of late. TRX/USD has been falling for some ten weeks now, having lost as much as 62%. The bulls were enjoying heights around $0.04000 in June. It was the highest level that had been observed since June 2018. The price formed a double top pattern from the highs seen on 2 and 25 June; this was a trigger for selling.
TRX/USD is back to trading at the lowest levels seen since December 2018, where the price had bottomed. The promising bull run of gains for 2019 have been given back after starting the year as low as $0.02000. It was a chunky percentage gain of over 80%, which had been demonstrating many qualities of the mid-2018 run higher for Tron. The price then achieved a short-lived all-time high up at the $0.1000 mark.
Bearish Technical Structures
Tron within the current bear market has been demonstrating strong sell signals, given its price behavior. At the back end of July until early August, TRX/USD was consolidating within a bearish flag pattern, which the sellers managed to capitalize on with full force. A wave of selling pressure came into play following the breach.
Most recently, between the 15-28 August, price action formed an ascending wedge structure. The bears forced a breakout to the downside, which again invited a fresh bout of downside to the Tron price. TRX has given up the psychological $0.02000 mark, which will now likely act as resistance and limit upside potential in the near-term.
The drop out of the noted wedge has seen the price falling below a critical demand zone, which ran from $0.019000 to $0.016000. The TRX/USD bulls attempted a retest of the territory and resulted in a rejection. It has again left the door open to further moves to the south, with the bulls failing to regather any form of upside pressure.
TRX/USD price action is narrowing, moving within a range-block formation, which is very much subject to a breakout. Given the most recent breakout and retest of the zone mentioned above, eyes are on continued moves to the downside. In terms of targets; $0.014000, $0.013000 and then $0.11150 (the 2018 bottom) should be eyed.
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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