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Tron Price Drops 10%, Still In Freefall: Where Will TRX Land?

Published May 23, 2024 2:56 PM
Nikola Lazic
Published May 23, 2024 2:56 PM
By Nikola Lazic
Verified by Peter Henn

Key Takeaways

  • Tron dropped 10% on May 23, diverging from market gains.
  • TRX shows signs of a potential starting downtrend.
  • A future correction might precede another price increase.

From its recent high of nearly $0.13 on May 13, the price of Tron has been on a steep decline. On May 23, it continued this journey, from a daily open of $0.12 to $0.11, decreasing by 10% in total. It is moving against to the general market, which saw positive spikes over the same time. Where will it land next, and what will its future outlook be? 

TRX Price Analysis 

TRX began its ascent in November 2022, trading at around $0.05. By February 29, 2024, it had reached a peak of nearly $0.15, rising by more than 200%.

TRX
TRXUSD | Credit: Nikola Lazic/Tradingview

This peak was only slightly above its previous high of $0.11 from November 11, 2023. This, in turn, shows potential weakness in the market. Tron ‘s current uptrend may end, although a resurgence is possible.

The price fell by 30% to a low of $0.10 on April 19, with a lower high of almost $0.13 followed by the current sharp descending move. This can signal a starting downtrend. The daily chart RSI came close to its overbought zone at 67% on May 12, and on May 19, MACD formed a death cross, further confirming a downtrend. 

Not all hope is lost, as TRX trades higher than its recent low, meaning this could be a corrective stage before the next upturn.  

TRX Price Prediction 

The price of Tron completed its larger five-wave increase on February 29, so it could be in its larger corrective stage. The first downtrend until April 19 could be counted as wave A, while its May 13 high could be wave B. 

TRX
TRXUSD | Credit: Nikola Lazic/Tradingview

Projecting with the Fibonacci extension tool, the same length of the first downtrend comes to a target of $0.092 at the upper end of the horizontal zone below. However, wave C could reach a 1.618 Fibonacci extension at $0.081. 

If it does, that would be a 0.5 retracement from the larger five-wave impulse. That would be an adequate level for a correction to end. But first, we need confirmation before we can expect these lower price points. 

The strongest one will come if TRX falls below its April 19 low, as that would confirm a downtrend. But if it stays above it and, preferably, gets slightly higher, the possibility of a new increase will remain. 

Disclaimers

Please note that the contents of this article are not financial or investing advice. The information provided in this article is the author’s opinion only and should not be considered as offering trading or investing recommendations. We do not make any warranties about the completeness, reliability and accuracy of this information. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. Any investor, trader, or regular crypto users should research multiple viewpoints and be familiar with all local regulations before committing to an investment.

 

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