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Tron (TRX) Holds Steady Near $0.24 Amid Bullish Indicators

Coin WorldWednesday, May 7, 2025 9:09 am ET

1min read

Tron (TRX) has maintained its position following a tumultuous weekend in the broader cryptocurrency market. The token is currently trading close to $0.24, with a minor decline of 0.91% over the past day. Despite the subdued price action, analysts are closely monitoring the token for signs of a potential breakout, with $0.40 emerging as a key resistance level.

TRX has been consolidating between $0.21 and $0.2551 for several weeks, after a significant drop from $0.45 to $0.21 at the end of last year. The token appears to have stabilized since then. Currently, buyers are showing resilience at the $0.24 mark, which aligns with the 50-day Exponential Moving Average (EMA).

The 50-day, 100-day, and 200-day EMAs are all in a bullish alignment, suggesting that TRX could be poised for a significant upward move. The longer TRX remains above these support levels, the higher the likelihood of a breakout from the current range.

Tether has minted an additional $1 billion USDT on the Tron blockchain, adding to the 4 billion USDT minted on both Ethereum and Tron since April 28. This new minting of USDT typically indicates increased market activity, as these tokens are used for trading, swapping, and transferring capital. The additional USDT on Tron could potentially translate to greater demand for TRX, although this is not certain.

From a technical perspective, the Moving Average Convergence Divergence (MACD) is showing signs of a potential change. The MACD and signal line are converging in the positive area, which usually indicates increasing momentum. If purchase volume increases, analysts predict that TRX could breach the $0.2551 resistance level and move towards $0.28, which corresponds to the 23.6% level on a trend-based Fibonacci retracement. If momentum continues to build, TRX could reach as high as the 50% Fibonacci level at $0.39, just below the $0.40 level.

Tron’s ecosystem is also showing signs of strength. According to analyst Ted Pillows, Tron’s share of the overall network economic value is nearly 25%, with Solana nearing 42%. Surprisingly, Tron’s revenue chain is now higher than Ethereum’s, accounting for 16% of total network revenue. The number of total accounts on the Tron network is also growing, with over 304 million accounts now registered. The total value locked (TVL) across Tron’s platforms has surpassed the $20 billion mark.

Whether TRX reaches $0.40 in the near future will depend on how it behaves around the $0.25 resistance level. Currently, price action, technical indicators, and ecosystem activity all suggest a bullish outlook for TRX.

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