TRX’s range highs and the liquidity pocket both highlighted the same key bullish target for prices.
- Tron has been bullish over the past week. The range formation idea could see the token rejected near $0.14.
The price action of Tron [TRX] was one of the exceptions among the major altcoins. After the 8th of August, Bitcoin [BTC] and the rest of the market began to experience losses.
BTC has shed 5.1% since that day, but TRX was up by 6%.
The network activity of Tron also surpassed that of the Ethereum [ETH] network. The growth in Tether [USDT] payments through the network is a possible reason.
Is it an uptrend of a range?
Source: TRX/USDT on TradingView
After the retracement to $0.108 in mid-April, TRX has slowly trended higher. It formed a series of higher highs and higher lows till mid-July but has fallen into a range formation since then.
The market structure on the daily chart was bullish, but traders might have better luck treating expecting a rejection at the range highs than trading a breakout.
This was because the OBV was at a resistance level that stretched back to mid-May.
The MACD showed strong bullish momentum, and the mid-range level at $0.13 was flipped to support. Swing traders could buy at this level, anticipating a move to $0.14.
The TRX liquidity pool at $0.14 could be pivotal
Source: Hyblock
Another reason why the $0.14 level is a focal point is the concentration of liquidation levels there. Price is attracted to liquidity and will likely be driven toward the range highs soon.
It might overshoot it slightly in the event of a liquidation cascade.
However, once swept, a move toward the liquidity cluster at $0.116, just below the range lows, would be the next target.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion
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