Tron (TRX) has been trading within a certain range since mid-November, but has seen a strong surge in the last two days. The price is still in the resistance zone of a higher time frame, but buyers may now be in a much stronger position.
TRX On-Chain Analysis
Despite strong selling pressure in Bitcoin (BTC) and the rest of the crypto market, TRX has shown a strong upward trend in the last three days. The blockchain reached a new milestone after the total number of accounts exceeded 206 million. TRX’s daily price chart shows a large amount of buying in recent days. The OBV has risen further to demonstrate this fact, and the price closed the daily trading session well above the highest level of the $0.1092 range.
There could be a pullback to the same region in search of liquidity before the next move. Meanwhile, momentum and market structure could be in favor of buyers. The cryptocurrency highlighted a block of the downtrend on the 1-week chart with a move from $0.1028 to $0.1175. In November 2021, TRX faced a strong rejection from this region and fell to $0.0514 two months later.
TRX Support Levels
Therefore, a weekly close above the $0.1175 level could be extremely significant. This could signal that TRX is ready for a rise to $0.142 in the coming months. However, the same resistance area could be retested as support before the rise. TRX’s current upward trajectory has not yet ended. A very positive cumulative liquidity levels delta could mean that the number of long liquidation levels is much higher than short positions. This could signal that a price drop to capture liquidity could be more profitable.
There were significant numbers of liquidation levels of $1.5 million or more in the downward direction at $0.118 and $0.12. TRX could climb to these levels and higher before reversing. Additionally, a drop to the levels of $0.113, $0.11, and $0.1 could potentially offer an attractive buying opportunity. This could also mean a retest of the high ranges that strengthens the possibility of a bullish response.
