Here's How TRX Can Increase by 40% | Credit: Hameem Sarwar
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Key Takeaways
TRON (TRX) has created a double bottom pattern.
TRX is trading inside a descending parallel channel.
Can the price confirm its bullish pattern with a breakout?
After seven years, TRON reached a new all-time high in December 2024. The TRX price doubled on Dec. 3, a few weeks after TRON CEO Justin Sun bought a controversial art piece for $6 million. Even though the price has fallen by 45% since its high, TRX is still the 10th largest cryptocurrency ranked by its market cap.
While 2025 has started on a bearish note, all hope may not be lost. A potential bullish pattern is forming on the charts, raising speculation about a possible trend reversal.
Will this halt the decline, or is TRX doomed to continue its correction to new lows? Let’s examine the charts to find out.
TRX has plummeted since its all-time high price of $0.449 on Dec. 13, 2024. Initially, the decline was rapid, causing the price to lose 45% of its value in less than a week. After that initial tumble, the TRX price created a descending parallel channel, inside which it has decreased gradually.
On Feb. 3, 2025, TRX reached a low of $0.221, validating the channel’s support trend line. The same day, it created a bullish hammer candlestick and started an upward movement that is still ongoing.
Today, the TRX price attempts to reclaim the channel’s midline, likely leading to an eventual breakout, as often happens with parallel channels.
To emphasize the possibility of a breakout further, TRON has created a double bottom (white icons), a bullish pattern. While the second low is well below the first one, it led to a long lower wick, putting the daily closes near each other.
Technical indicators support this breakout. The Relative Strength Index (RSI) and Moving Average Convergence/Divergence (MACD) have both generated bullish divergences (green), bolstering the double-bottom pattern.
If a breakout happens, the TRX price can increase by another 40%, reaching the 0.5 Fibonacci retracement resistance level at $0.325.
TRX Correction Over?
The wave count also provides a bullish TRX prediction. The most likely count suggests that the TRX price has completed a five-wave downward movement (black) since the all-time high. The structure is a leading diagonal, hence its containment inside a descending parallel channel.
While bullish, the caveat of this wave count is that if it is accurate, the breakout will be a relief rally that eventually leads to new lows.
Thus, the TRX price would create an A-B-C correction toward the 0.5-0.618 Fibonacci retracement resistance level at $0.325 – $0.355. Then, it would create a lower high and fall again.
Because the downward movement is impulsive, the wave count suggests that TRX will not reach new highs this cycle.
Rather, it has already started correcting and will continue its descent after creating a lower high.
Bullish February for TRX
TRX is finally showing bullish signs after falling 45% since its all-time high. The price creates a bullish pattern and will confirm it with a breakout from its descending parallel channel.
TRX could increase by 40% toward the 0.5-0.618 Fibonacci retracement area if that happens.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Valdrin Tahiri is a cryptocurrency analyst and reporter at CCN, specializing in technical analysis with a focus on Elliott Wave theory, on-chain metrics, and fundamental research. He brings over seven years of experience in the crypto space as both a trader and writer.
He discovered cryptocurrencies in 2017 while earning his MSc in Financial Markets at the Barcelona School of Economics, which sparked a deep interest in blockchain and market dynamics. Since then, he’s contributed to top crypto outlets like BeInCrypto and CoinGape.
Valdrin also served as Community Manager of BeInCrypto’s Telegram group for three years, helping grow it into one of the largest crypto communities worldwide. His expertise in market structure and price patterns allows him to break down complex trends into clear, actionable insights.
He’s published thousands of articles covering altcoins, Bitcoin cycles, and macro trends.
