Tron Shows Bullish Signs Amid Market Correction

Tron is among the cryptocurrencies showing signs of recovery following the recent sharp downturn. The coin began its bullish rebound on Monday, and despite a slight decline on Tuesday, the price held firm, preserving its upward momentum. This resilience suggests a potential buying opportunity if risk is managed effectively.

In this analysis, we will explore the key factors influencing Tron's price action and strategies for navigating the trade successfully.

Daily time frame analysis

TRXUSD - 1 Day Time Frame

Analyzing the current price action, we can observe that the price has successfully closed above the critical 0.5 Fibonacci level of the key resistance zone. This confirms a potential buying opportunity, as historically, when the price respects a certain zone, it tends to stay below the 0.5 Fibonacci level with candlestick bodies.

Further confirmation of this bullish scenario comes from the formation of a new support zone—yesterday’s decline lacked the strength to invalidate the uptrend. This support is particularly evident on the four-hour timeframe.

Tron price target

TRXUSD - 4 Hour Time Frame

As long as the price remains above the lower boundary of this support zone on the four-hour chart, it is reasonable to hold the full volume of the position. However, if the price closes below this level, it would be advisable to reduce exposure by selling part of the position while keeping the rest in the market.

Regardless of the scenario, both approaches could incorporate a Stop-Loss order placed below the most recent internal higher low, as illustrated in the attached chart.

Regarding profit-taking strategies, Take-Profit orders can be placed at Buy-Side Liquidity levels, as indicated on the chart, while also holding a portion of the position with a long-term target aiming for the All-Time High.