TRX / USD is considered by some to be one of the undervalued assets of the encrypted market. Since the end of its migration to its Mainnet, it has been good news for good after the other. This news will have no doubt, will support the fundamental positive prospects for TRON and will offer the opportunity to this crypto resource to take its true place in the market.
The latest news for TRON is its listing as a payment method on the CoinPayment platform. This made the cryptocurrency available for use with 2.2 million merchants to pay for goods and services with this encryption. This move will serve to increase the adoption of TRON going forward.
The 30 th in August, the official Tron Virtual Machine will be integrated into the TRON Mainnet, which will make it possible for developers to create decentralized applications (Dapps) on the network. These two events are positive for TRX and we could see a little of that positivity that reflects in the TRX / USD pair.
True technical analysis begins with long-term prospects for good. For TRON, we look at the weekly chart for our analysis for the week. Unlike Bitcoin and Ethereum, Tron does not have much history on the weekly chart, having been launched in 2017. Therefore, we basically have a one-year history to analyze. The TRX / USD table is as follows:
Weekly chart TRX / USD: 29 August 2018
There are basically two key points to keep away from this chart:
- The indicator of the moment has formed two price ranges that tend towards the high. This is due to the fact that the price action has formed two price cuts that are lowering. This is a sign of divergence.
- The shaded area on the descending support line reveals the presence of two pinbars. The price level here is 0.021570. This price level also corresponds to the long-term support level (red dashed line). We can see the pinbars that rest firmly on this support line.
There are two possible scenarios on how this configuration will evolve.
By putting all these points together, we see only one possible result for the price action on TRX / USD: an upward reversal. This is based on the bullish pinbar on the support line, as well as on the back of the divergence situation.
We would also like to note that the momentum indicator has formed the first trough in the oversold area, while the 2 nd trough failed to reach the oversold area. This in technical analysis is what we call the "swing failure". It is an inversion signal, and this adds credibility to the expectation that the price of the TRX / USD should reverse the trend towards the high