Fallout of $0.075 Support Hints 18% Drop in TRX

The failed attempt from the TRON (TRX) buyers to escape the range-bound rally indicates a potential downfall to the $0.057 mark. The $0.075 fallout brings a short opportunity for interested traders to take an 18% target. Can the concentrated EMAs stall the upcoming freefall?

Key points

• The TRX price has lost 16% since the last week
• The TRX chart shows a potential bearish crossover of 20-and-200-day EMA
• The 24-hour trading volume in the TRON coin is $1.77 Billion, indicating a 21.5% loss

Source-Tradingview

The TRON(TRX) price has resonated in a horizontal channel since the beginning of 2022. During the consolidation phase, the coin comfortably bolstered itself at the $0.057 support making several attempts to push its way through the $0.0748 resistance.

The constant accumulation of buyers over the past five months and their efforts to break the horizontal channel finally saw success on 4th May and reached a high of the $0.9 mark.

However, the buyers couldn’t sustain this breakout amidst the recent crash in the crypto mark and succumbed to the daunting horizontal channel once again. The TRX price currently trades at $0.716, with an intraday loss of 3.51%. The support fallout suggests the TRX price would descend 18.7% lower to retest $0.057 support.

On a contrary note, all this fuss has accumulated the crucial EMAs(20, 50, 100, and 200) near the $0.075 mark, which may interrupt further downfall and push the price back above $0.75

Technical indicator

The TRX/USDT pair pierced through the midline of the Bollinger band indicator gives additional confirmation for descending to the lower support band situated near $0.57.

The vortex indicator shows the VI+ and VI-  slope is poised to bearish crossover. This sell signal may bring additional sellers and bolster the expected 18% fall.

• Resistance level- $0.074 and $0.088
• Support levels- $0.057 and $0.053

From the past 5 years I working in Journalism. I follow the Blockchain & Cryptocurrency from last 3 years. I have written on a variety of different topics including fashion, beauty, entertainment, and finance. raech out to me at brian (at) coingape.com

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.