Coin World Report:
At the time of writing this article, TRX’s trading price is above its 200-SMA, indicating a long-term bullish trend. Token burning suggests a deflationary mechanism for altcoins. TRON (TRX) has recently experienced a minor decline on the charts, dropping from $0.1678 at the beginning of the month to $0.1654, a decrease of 1.8%. However, the market cap of the altcoin has risen by 0.59%, and the 24-hour trading volume has surged by 20.49%, indicating increasing investor interest. These indicators collectively highlight the ongoing optimism towards the altcoin ecosystem. It is noteworthy here that TRON, driven by strategic initiatives such as token burning, aims to reduce supply and encourage long-term value growth.
Analysts remain bullish, suggesting that a logarithmic price spike could propel TRON towards a target of $1.11. The support level at $0.1635 has historically catalyzed northward movements. Moreover, a successful retest of this level could trigger further bullish actions, potentially rising to $0.18 this week. Technical indicators show a sustained rebound. In October 2024, TRON executed a massive token burn, removing over 149.6 million TRX tokens from circulation. The estimated market value of these assets is about $25 million. This burn is part of Tron’s commitment to reducing token supply and promoting scarcity, which is expected to positively impact price stability in the long run.
On the daily chart, the price of the altcoin has been above the 200 SMA line since the beginning of August. This indicates that the position of the SMA line continues to strengthen the altcoin’s long-term bullish trend. The trading volume levels are moderate, with no significant spikes observed at the time of publishing. This provides TRX traders with a stable, low-volatility environment. The three lines of the Alligator indicator (green, red, and blue) also seem to be converging, suggesting a consolidation phase. This setup can be interpreted as a sign that TRX has been strengthening, possibly preparing for the next move.
TRON holders enjoy profits, with losses under 1% At the time of writing this article, about 97.89% of all addresses holding TRX are “In the Money,” indicating that these holders are profitable relative to their purchase price. Only a small portion, 0.76% of addresses are “Out of the Money,” meaning these holders are at a loss at the altcoin’s issuance price level. Meanwhile, 1.35% of addresses are “At the Money” – their purchase price is almost equal to the cryptocurrency’s trading price at the time of the news release. Such a high proportion of profitable addresses indicates market confidence in TRON, with most investors benefiting from the recent price trends.
Liquidation levels hover around $0.165 At the time of writing this article, the price of TRX at the time of the news release is $0.165, with liquidation levels for longs and shorts appearing to be evenly distributed. On the left side, the cumulative short-term liquidation leverage (red area) begins to significantly drop below $0.164. If prices fall, these could intensify, meaning short positions are heavily utilized near these levels. Conversely, on the right side, cumulative long-term liquidation leverage (green area) rebounds above $0.166, with leverage significantly increasing above $0.170. This concentration indicates that long positions could face liquidation if the price of TRX sharply rises.
