- Tron (TRX) up 14.7 percent, may flip XLM
- A $20 million TRX buyback could stir controversy
Buying back coins or tokens is a great way of supporting prices. Tron could do that. With a stellar dApp ecosystem, TRX investors shall benefit. At the time of press, the coin is 14.7 percent higher from last week’s close.
Tron Price Analysis
Given the substantial rise of Bitcoin (BTC), altcoins are following suit. Of the many coins that could secure a spot in the top 10, TRX is one. Registering a double-digit expansion in the last week, TRX is one of the top performers.
Behind the resurgence are bullish developments that could form the base of another wave lifting prices towards 10 cents or higher. Boasting a market cap of $2,567 million and changing hands at 3.8 cents at the time of press, TRX bulls are in the driving seat.
From candlestick arrangements and significant events, odds are TRX will likely print a new 2019 high by the close of the year. Behind this optimism is the unconfirmed plans of a $20 million TRX buyback plan.
Although controversial, moping supply creates room for demand. Therefore, as buyers scramble for the few coins in circulation, the price of the asset digital asset will readjust upwards, rewarding holders.
However, the question now is whether this announcement categorizes the currency as a security. Earlier this year, unsubstantiated rumor had it that the US SEC would bar their citizens from investing.
Deemed as “unregulated security,” the ramification would be dire for TRX should the agency follow through with their threats.
As aforementioned, the phenomenal rise of BTC is a trigger of altcoins. The altcoin season may be on. From candlestick arrangement in the daily chart, resistance is at the 4 cents mark. It is capping May 2019 procession while doubling as the first target of previous TRX/USD trade plans.
Since prices are firm above 3.1 cents at the back of high trading volumes, there are two ways of trading this set up. Firstly, aggressive traders can buy the dips with stops at 3.1 cents. Alternatively, conservative traders can wait for better signals. That means any close above 4 cents ought to be with high participation completing the reversal of June 3rd double bar bear reversal pattern. Such a move would effectively reverse losses of June 3rd, re-affirming this overview.
In light of the above, June 22nd bull candlestick leads this trade plan. It is extensive and propelling bulls are high trading volumes of 16 million. However, any break out above 4 cents confirming buyers ought to register an uptick in participation preferably exceeding 28 million of June 3rd.
Chart courtesy of Trading View. Image Courtesy of Shutterstock
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