TRON (TRX) Price Surge: Bullish Signals Emerge
TRON (TRX) Price Surge: Bullish Signals Emerge
Recent market data suggests a potential price surge for TRON [TRX]. Several key indicators point towards a bullish outlook for the cryptocurrency.
Key Indicators Suggesting a TRON Price Surge
- Significant TRX Accumulation: Over the past month, a noticeable accumulation of TRX has been observed during periods of price uptrends—a strong bullish signal.
- Liquidity Heatmap Suggests Rally: Analysis of liquidity heatmaps indicates a high probability of a price rally in the coming days.
- Increased Daily Transactions: TRON's daily transaction count has doubled since September 2023, rising from under 5 million to 9 million. This surge in activity has positively impacted network revenue.
- Whale Accumulation and Social Media Engagement: Increased whale accumulation and heightened social media engagement further support the bullish sentiment surrounding TRX.
Data from IntoTheBlock shows that 98% of TRX holders are currently in the money. However, a closer examination reveals that 4.48 billion TRX were purchased in the $0.288-$0.455 range, compared to 28.39 billion TRX (worth $7.4 billion) purchased in the $0.243-$0.28 range. This suggests a strong demand zone around $0.24-$0.28, indicating potentially limited selling pressure in the near term. While profit-taking remains a risk, the overall trend favors buyers.
Proof of TRX Seller Exhaustion
The Glassnode Exchange Net Position Change metric, which tracks the 30-day movement of TRX held in exchange wallets, shows a negative trend over the past month. This indicates TRX is being withdrawn from exchanges, a clear sign of accumulation. This negative trend aligns with the recent price increase and mirrors a similar pattern observed in October 2024, which preceded a significant rally in November and December.
Since May, TRON has traded within a range, with $0.2945 acting as key resistance. A decisive break above this level is crucial for the uptrend to continue.
Liquidity Heatmap and Potential Trading Strategies
A 1-month liquidation heatmap from CoinGlass shows two significant magnetic zones above the current price, with the $0.295-$0.30 range being particularly noteworthy. This concentration of liquidation levels suggests a likely price movement towards these areas. Traders might consider going long, targeting profits around $0.295-$0.30, and potentially shorting after a bearish reversal or using a bullish breakout and retest of the $0.30 level as support before entering another long position.
Disclaimer: This analysis is for informational purposes only and does not constitute financial advice. Investing in cryptocurrencies involves significant risk. Always conduct thorough research and consider your own risk tolerance before making investment decisions.
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