Tanya Abrosimova
Independent Analyst
- TRX crashes after a sharp growth during previous sessions.
- The upside momentum might have been caused baby Just.Game pump.
TRON (TRX) hit $0.0160 during early Asian hours before collapsing to $0.0144. The coin has lost over 10% of its value in a matter of hours. While it is still 4/5% higher from this time on Sunday, the downside momentum is gaining traction.
From riches to rags
Tron's TRX was the best-performing cryptocurrency asset on the weekend. The coin has jumped by 9% in less than 24 hours; however, the pump quickly transferred into a dump as the price hit the brick wall on the approach to $0.0160 resistance. After a short-lived spike, Tron's market capitalization slipped below $1 billion, while the coin retreated to the 11th position in the global cryptocurrency rating.
From the longer-term perspective, TRX/USD is down 25% since the beginning of the year. The bears' sentiments started to build up in the second half of 2020 and led to a significant decline of TRX from $0.0400 in June to as low as $0.0111 in September.
Just.Game pump
A new interactive gambling game has got live on Tron's blockchain. The event with much-touted and promoted. Justin Sun has fired like a dozen tweets in the recent few hours, live streaming news about how the app is doing. The game has a pyramid structure and targets human greed and FOMO emotions, just like the majority of gambling games.
TRX/USD: technical picture
TRX/USD broke below SMA200 (Simple Moving Average) 4-hour at $0.0145 and extended the decline towards the next support created on approach to $0.0140-$0.0139 support area strengthened by a combination of SMA100 and the middle line of 4-hour Bollinger Band. If it gives way, the price may continue the decline to $0.0135 (SMA50 4-hour) and psychological $0.0130.
On the upside, a move above $0.0145 will mitigate the initial bearish pressure and held to create a bullish momentum. The next resistance awaits at $0.0150 and on approach to the intraday high of $0.0160.
TRX/USD, 4-hour chart
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