- Tron has reached a new milestone as a blockchain.
- TRX has posted notable gains recently and could continue its rally.
Tron [TRX] has been trading within a certain range since mid-November, but forced an emphatic breakout in the past two days. The price was still within a resistance zone with a higher time frame, but the buyers are much stronger at the moment.
TRX has risen sharply in the past three days, despite Bitcoin [BTC] and the rest of the crypto market saw strong selling pressure. The blockchain also reached a new milestone after the total number of accounts exceeded 206 million.
The range breakthrough was a huge positive
Source: TRX/USDT on TradingView
TRX’s one-day price chart has shown heavy buying volume in recent days. The OBV jumped higher to demonstrate this fact, and the price closed a daily trading session well above the highs at $0.1092.
It is possible that before the next move there will be a return to the same area in search of liquidity. Meanwhile, momentum and market structure were clearly in buyers’ favor.
The red box reaching from $0.1028 to $0.1175 highlighted a bearish order block on the 1-week chart. In November 2021, TRX faced a strong rejection from this area, only to fall to $0.0514 two months later.
Therefore, a weekly close above $0.1175 would be extremely important. It would be a signal that TRX is poised for another rally to $0.142 in the coming months. However, a retest of the same resistance zone as support is possible before the rally.
Analyzing the relevant liquidation levels on the lower time frames
Source: Hyblok
TRX’s current bullish trajectory had not yet ended. More profit was possible. AMBCrypto looked at liquidation levels over the past seven days to understand where TRX is likely to move next.
The very positive cumulative delta of the liq levels ensured that the number of long liquidation levels easily exceeded the number of short liquidations.
This in turn indicated that a price drop would be more lucrative to chase liquidity. That does not guarantee an immediate price drop. In the North, there were a significant number of liquidation levels of $1.5 million or more, namely $0.118 and $0.12.
Read Tron’s [TRX] Price forecast 2024-25
TRX could climb to these levels and beyond before a reversal occurs. Meanwhile, a decline to the $0.113, $0.11 and $0.1 levels would likely provide a juicy buying opportunity.
It would also be a retest of the range highs, increasing the likelihood of a bullish reaction.
Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the author.