Many digital currencies recorded bullish price movements in the last 7 days. However, in the past 24 hours, several tokens, including top coins, have shown signs of corrections. According to CoinMarketCap data, Bitcoin and Ethereum have declined in the last 24 hours and in their weekly gains. The broader crypto market cap is also down in the same period.
Despite the daily price decline of these coins, Tron (TRX) recorded a green start today before losing some 24 hours gains. But based on CoinMarketCap data, Tron is currently up by 2.94% in its 7 days gain. In the meantime, Tron outperforms some of the major tokens, including Bitcoin and Ethereum, in weekly gains.
But will the price of Tron TRX reclaim its gain earlier today? What are the major factors holding its weekly price growth, and what’s the possible look of the token in the coming days? Let’s find out below.
Factors Influencing Tron TRX Price
On many occasions, demand, supply, market sentiment, network development, and macros affect the prices of digital tokens. For today, February 24, the market sentiment is in the Greed zone, standing at 53.
Furthermore, the Tron network remains relentless in carrying out developmental activities, which shows the activeness of the developers and community. According to information from CoinMarketCap, the 24-hour trading volume of the token is currently up by 1.50%, indicating increased activities in the network.
Meanwhile, Tron is picking up what it left off last year as it carries out a new project development known as the HackaTRON Season 4. This program allows blockchain developers to compete, creating more decentralized applications. This project aims to improve the network’s existing development by providing eco-friendly blockchain initiatives.
According to the report, the submission period for this new project kicked off on February 1 and will continue till April 15. The HackaTRON Season 4 project is a combined effort of the TRON network and Huobi exchange, and this is a way to drive the token’s price.
Additionally, Binance, the world’s largest crypto exchange, tweeted on February 11, stating its collaboration with Tron to adjust withdrawal fees. According to the founder of Tron Foundation, Justin Sun, the idea of the partnership is to make digital currency transactions affordable for its users. He believes that the adoption and accessibility of cryptocurrencies will greatly increase through collaboration.
TRON is in a sideways trend today on the daily chart and has maintained this trend from February 22 till date. The bulls rallied on February 15, 2023, to form a golden cross on the daily chart; however, the asset has lost some of its initial momentum.
TRX enjoyed positive price momentum trading at the $0.07 price level between February 17 and February 20, 2023. However, the price has retraced to the $0.06 level. Also, the Relative Strength Index (RSI) is 58.46, which is in the neutral zone. The indicator is moving sideways, which indicates price neutrality and uncertainty.
TRON’s Moving Average Convergence/Divergence (MACD) is above its signal line. However, it is descending, which indicates a possible bearish signal in the coming days.
Despite the pullback, it is trading above its 50-day and 200-day Simple Moving Average (SMA), a bullish signal in the short and long term. It implies that the asset may resume its uptrend soon. Also, the 50-day SMA has continued to rise, reflecting bullish pressure.
TRX support levels are $0.06764, $0.06826, and $0.06881; resistance levels are $0.06997, $0.07059, and $0.07114. The coin will likely surpass the $0.06997 resistance level in the next few days. However, a price pullback might occur and trigger a downtrend.
Note that altcoins are volatile and might struggle to regain their value after a price pullback. Also, remember that investments carry certain risks and should be approached with proper research, technical analysis, and risk management.