Despite the bullish market outlook, the Tron price plunged 2.17% to $0.148 during the Friday trading session. While the bearish momentum signals prolonged correction, the TRX price holds a healthy retracement level at $0.145 amid whale accumulation to signal a potential upswing.
Tron Price To Rebound as 90M Long-Term Holders Supporting Stability
The Tron price daily chart shows a V-top reversal from $0.17 to $0.149, registering a 12.65% loss within two weeks. While this pattern typically indicates intense selling pressure, the buyers still hold the upper hand as the price holds above the 50% Fibonacci retracement level.
Moreover, the current pullback could be a cool-off phase for TRX after a substantial rally in August amid the launch of the Sunpump memecoin generator. Therefore, if the selling momentum persists, the TRX price could plunge 3% to retest firm support of $0.14 back by 50% Fibonacci Retracement Level and 50-day Exponential Moving Average (EMA).
This retracement level is considered healthy during established uptrends for buyers to recuperate the bullish momentum. If the support holds, the Tron price could rebound and challenge the $0.55 resistance for a potential rally to $0.17.
Moreover, Tether, TRON, and TRM Labs have collaborated to launch the T3 Financial Crime Unit to tackle crypto crime. The initiative could attack more users as market participants favor a secured network.
According to Intotheblock analytics, the Tron coin witnessed a steady increase in long-term holders. Over the past year, the number of long-term holder addresses surged by 237%, reaching nearly 90 million. This growing trend indicates heightened confidence in Tron’s future as more investors choose to hold TRX for the long term.
On the contrary, the global in-and-out-the-money metric shows that Tron buyers would face a substantial supply pressure of 15.12 billion TRX coins held by 4.28 million addresses at the average price of $0.152. If the potential rebound meets with the liquidation of this holder for break-even, the Tron price prediction could signal a continuation of consolidation above $0.144 support.
From a pessimistic approach, if the seller breached the 50-day EMA, the price could lose 12% more to retest a long support trendline at $0.125.
Frequently Asked Questions (FAQs)
TRON has seen a 237% increase in long-term holders over the past year, reaching nearly 90 million addresses. This growing number of long-term investors reflects heightened confidence in TRON’s future
The 50% Fibonacci retracement level at $0.145 is a critical support zone during uptrends, acting as a healthy pullback point for buyers to regain bullish momentum
A key risk to TRON’s price is the overhead supply of 15.2 billion TRX at $0.52. If these holders decide to liquidate at break-even, it could lead to extended consolidation
Sahil Mahadik
Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading
Disclaimer: 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.
Source: https://coingape.com/markets/tron-price-to-dodge-14-long-term-holders-90m/
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