WP Ad Inserter plugin
Read Time:1 Minute, 30 Second

Tron outperformed the crypto market in May, increasing by over 30% this month at the time of this post (see below image). But what drives this growth and demand?

Chart by TradingView

Key Support levels: $0.07

Key Resistance levels: $0.09

The fundamentals for Tron have changed with the introduction of the algorithmic stablecoin USDD in late April. So long as demand for USDD grows, TRX’s price is more likely to move higher. This is because TRX / USDD uses a similar burn/mint mechanism to Luna / UST.

As a result, the cryptocurrency has formed a bullish parabola which so far has acted as support. The key resistance is found at 9 cents, and if broken, the way will be opened for TRX to move higher. The current support is at 7 cents.

TRXUSDT_2022-05-30_10-30-23
Chart by TradingView

Technical Indicators

Trading Volume: The volume has not been great for TRX in the last few days, but despite this, the price still managed to move higher.

RSI: The daily RSI continues to remain above 50 points. This is a bullish signal, and the RSI has made a higher low as well.

MACD: The daily MACD is bullish, and the histogram just made a higher high. This shows a renewed interest in TRX, which could push the price all the way to the key resistance.

TRXUSDT_2022-05-30_10-30-13
Chart by TradingView

Bias

The bias for TRX is bullish, at least in terms of technicals for the short term.

Short-Term Prediction for TRX Price

With bullish fundamentals as well as a market that is keen to move higher after two months of correction, TRX is well-positioned to challenge the key resistance at 9 cents and quickly move higher. However, the parabola must hold as any break below it could signal a change in the uptrend.

One thought on “Tron Price Analysis: TRX Price Skyrocketed by Over 30% in May, What Drives this Move?

  1. Seems like there are increasing numbers of of very defensive CEX posts these days in the wake of the Celsius shitshow. I find the blinders some r/Cc have on pretty fascinating. It reminds me of many posts prior to the Celsius collapse — defenders came to the aid of the Celsius fraudsters despite the CEO’s shady background, the company’s **known risky lending practices, and the very real possibility that users’ crypto was unsecured, and by extension, at risk of disappearing entirely. And here we are today, with thousands of lives destroyed.

    For those of you who feel safe and snug in the warm embrace of major exchanges like Coinbase, just a reminder from their May earnings report: Coinbase said that it holds $256 billion in both fiat currencies and cryptocurrencies on behalf of its customers. Yet the exchange noted that in the event it ever declared bankruptcy, “the crypto assets we hold in custody on behalf of our customers could be subject to bankruptcy proceedings.” Coinbase users would become “general unsecured creditors,” meaning they have no right to claim any specific property from the exchange in proceedings. Their funds would become inaccessible.

    Sound familiar to anyone tracking the Celsius fuckery?

    tldr: You’re at risk if you use a CEX. Yeah yeah there are tons of posts these days about not your keys not you coins, but it truly can’t be said enough, particularly to those suffering from unbridled confidence.

    side note: CEXs’ very existence are antithetical to one of the very basic tenets of cryptocurrency. Granted, possibly a necessary to spur mass adoption, but diametrically opposed to the original intent of its creation nonetheless.

Leave a Reply

Your email address will not be published.

  • bitcoinBitcoin (BTC) $ 19,558.17
  • ethereumEthereum (ETH) $ 1,334.71
  • tetherTether (USDT) $ 1.00
  • bnbBNB (BNB) $ 282.92
  • usd-coinUSD Coin (USDC) $ 0.999329
  • xrpXRP (XRP) $ 0.518558
  • binance-usdBinance USD (BUSD) $ 1.00
  • cardanoCardano (ADA) $ 0.424124
  • solanaSolana (SOL) $ 33.11
  • dogecoinDogecoin (DOGE) $ 0.062266