Tron (TRX) price correction: Is it time to consider buying during a potential $0.223 surge?
Despite the overall bullish market sentiment in September, TRON [TRX] faced a correction rather than sharing in the positive momentum. Nevertheless, this short-term pullback should not be seen as a signal of weakness in buyer interest.
TRX has shown significant bullish performance in recent months, outperforming Bitcoin [BTC] and other altcoins which have experienced downturns since April and May.
Breakout and consolidation patterns for TRON (TRX)
In mid-August, TRON prices broke through a local resistance level, surging by 22% above the previous local highs. After this rally, the price retraced back to the 38.2% level at $0.15 and has been consolidating in this range since.
Throughout the past month, the daily chart’s Relative Strength Index (RSI) has maintained a bullish stance, and the On-Balance Volume (OBV) did not drop below the levels seen in May, indicating that selling pressure was not strong enough to signal a potential downtrend.
The stable consolidation of TRX above $0.144, the highs from February, has been encouraging for long-term holders, hinting at the possibility of substantial gains in the future with reduced selling pressure.
Looking ahead, the Fibonacci extension targets for TRX stand at $0.2 and $0.223 respectively. Those considering swing trading might want to wait for a retracement to the $0.128-$0.137 range in the upcoming weeks before entering the market.
Potential price scenarios for October
Analysts observing the liquidation heatmap have identified key support and resistance levels for TRX at $0.152 and $0.158. These price zones are likely to witness significant market activity in the upcoming days, potentially leading to bullish or bearish reversals.
Specifically, the concentration of liquidation levels around $0.16 could act as a strong magnetic point, drawing prices towards it before a short-term momentum reversal.
Please note that the information provided herein is the subjective opinion of the writer and should not be taken as financial, investment, or trading advice.