Tron Token Is Ready to Rise 20%, Analyst Says
The price of the TRON token is hovering within a bearish configuration that predicts a considerable drop. However, due to the latest developments, things are starting to look upbeat, according to analyst Akash Girimath. According to the analyst, a significant move to change the trend was the entry of Justin Sun, founder of Tron, on the board of Huobi.
“This move by Justin Sun appears to have triggered a reversal to the TRX token. After all, the asset is up 6% from the recent encounter with a stable support level. Going forward, investors can expect a continuation of this outlook. That’s because the cryptocurrency market is in a short-term bull market right now,” he said.
However, Girimath noted that the TRON price is down around 65% from its 2021 high.
“In the approximately one and a half year it took TRX to reach this level, the token has set four lower highs and four equal highs. This reveals a descending triangle setup that can act as bullish if a key level breaks out,” he said.
Also according to him, although the technical formation predicts a 59% drop in the price of TRON, if TRX maintains $0.0581 things could change. In this case, the descending triangle formation makes the level key to a new high.
Furthermore, Girimath pointed out that investors should keep an eye out for the $0.0581 marker. That’s because if it is broken, a bearish will come and could result in a massive drop. However, if it is maintained as support, there are great chances of appreciation for TRX.
“Going forward, market participants can expect TRX to rise 20% and reach equal highs at $0.0720 for buy liquidity,” he said.
On the other hand, if the TRON price does not continue on its bullish rise, things could suggest that the bears are in control. Thus, if TRX produces a daily close candle below $0.0581, it will invalidate the token’s bullish outlook.
“However, this sell-off could slow down around the $0.0450 support level, allowing buyers to give bulls another chance.”