- Tron is hovering at $0.08 as breakout traders got trapped.
- The TRX price is showing significant selling pressure on the volume indicator.
- Invalidation of the bearish thesis is a breach above $10.77
The TRX price could set a smart money trap, as volume and technicals are not evenly correlated.
TRX price seems too clean to be true
Tron has gained popularity in the crypto market as the digital token has been one of the only cryptocurrencies to maintain its value over the past nine weeks. The technical data may hint at impending selling despite the unmistakable bullish display.
TRX price is currently trading at $0.08 as the price consolidates sideways after last week’s breakout failed. When analyzing the previous weekly candles, there is strong bearish pressure hovering above the $0.08 levels. Many traders can see the current price action winding up in a triangle shaped formation. Unfortunately, the wedge pattern can be a smart money trap, as bullish triangle consolidations usually occur with low volume. Thus, the TRX price may be setting up for a liquidity hunt towards the $0.06 price levels in the coming days.
TRX/USDT 2 week chart
The invalidation of the bearish thesis is a breach above $0.1077. If the bulls exceed this level, consider this thesis incorrect. The next likely target will be $0.12, which will lead to a 46% increase from the current TRX price.