TRON (TRX) has gained market attention after breaking out of a logarithmic wedge pattern, indicating the potential for a major upward move. Market analyst JavonTM1 predicts that TRX could surge over 505% from its current levels, targeting a price of $1.11 or higher.
Technical Analysis of TRX
Technical indicators suggest that TRX remains in a bullish formation, with several key factors supporting its potential upward movement. The cryptocurrency is currently facing resistance at $0.2354 and $0.2422, and a breakout above these levels could trigger further gains. Conversely, $0.2215 and $0.2150 must hold as the support to reduce such an outcome. One of the technical signs supporting the bulls’ argument is the Golden Cross. The 13-day moving average has crossed above the 49-day moving average showing a long-term upward bias. The Relative Strength Index (RSI) is at 42.31, but moving above 50 could indicate a continuation of the buying spree. The MACD indicator currently shows the MACD line below the signal line, indicating continued selling, but a bullish crossover appears to be forming, suggesting a potential shift in momentum towards the upside.
Growing Demand Boosted by DeFi
In addition to technical patterns, TRON's decentralized finance (DeFi) ecosystem is experiencing increased adoption, adding fundamental strength to its bullish outlook. The Total Value Locked in TRON's DEXs is steadily increasing, indicating investors' growing confidence. Market analysts have observed a shift from centralized exchanges (CEXs) to TRON-based DeFi platforms, driving higher demand for TRX. This supports price stability while developing a long-term potential for the TRON network.
Future of TRON (TRX)
Looking ahead, if current market trends support the rapid increase in price, more gains could be within reach for TRX, including the $0.2354 and $0.2422 levels as achievable in the short term. The bullish trend may lead to reaching $1.11 in the long run. Nevertheless, monitoring resistance and support levels is crucial. Any dip below $0.2150 may be a temporary pullback. If buying pressure continues to increase, TRX could see significant upward movement.
TRON (TRX) shows potential for continued growth driven by both technical and fundamental factors. Investors and analysts are closely watching TRX's further movements and the development of its DeFi ecosystem.
