Key Insights
- Tron price has remained bullish for three consecutive days.
- TRX price has surpassed the 20-day EMA and reached the breakout zone.
- In terms of fees generated, Tron is one of the top DeFi protocols for the week.
Tron (TRX) price has been in a bearish trend since the second week of December and has lost around 45%.
It has been declining through a descending channel and has reached the breakout territory. Tron price has smashed the 20-day EMA, which could attract buyers.
Tron Price Overview Amid Recent Fall
Over the past few days, there has been a renewed sense of excitement and activity on the Tron network. However, will there be enough demand for a significant Tron coin recovery as a result of this?
Like the majority of other cryptocurrencies, TRX saw a significant decline from its peak in December.
For comparison, its press time price of $0.238 represented a 46% reduction from its historic all-time high of $0.449 on December 4.
At the $0.21 price level, where sell pressure seems to have leveled out, TRX showed distinct indications of support.
However, the cryptocurrency’s MFI recently surged to its highest level this month, indicating that liquidity has been returning to the market.
However, the current price of the Tron coin might not always be a sign of high demand. Although, a few observations might suggest a build-up of bullish momentum.
Tron Coin Secured a Good Rank in Terms of Fees
Tron may already be affecting liquidity, even though its rapid liquidity growth highlights the market’s readiness for a significant bullish move.
In terms of fees generated, the network recently came in second place among DeFi protocols.
To put the level of utility that the network has been attaining into perspective, Tron came in second place, after Tether’s USDT.
Tron made a staggering $60 Million in revenue during the second week of February, according to the ranking.
Strong network activity is indicated by Tron’s impressive revenue. The demand for TRX increases with the amount of network activity.
Investor confidence may increase as a result of these developments. As of right now, the demand for Tron coin is still low and consistent with the mood of the market.
To put it another way, once the bulls regain control, TRX might be a good candidate for a healthy uptick.
TRX Price Shaped Hammer on 20-day EMA: What’s Next?
On a weekly time frame, the Tron crypto price has witnessed a major bullish spike. After this spike, the TRX price has displayed a correction and has dropped to the 20-day EMA.
The price has formed a hammer candlestick on the 20-day EMA and has climbed slightly. TRX crypto price has departed from the 20-day EMA and has increased by 6%. The recent surge in price could be a bullish sign and might attract buyers.
If the Tron price remains bullish and manages to attract buyers, it could be a bullish sign. Buying momentum could be generated once investors get involved and show confidence in the ‘Hammer’ candlestick. The price is set to reach the last swing high amid this bullish move.
Alternatively, if the price dives below the 20-day EMA, most investors and traders might prefer to book profit. Here, profit booking could lead to a bearish trend.