It’s another weak day for crypto, as bitcoin (BTC) fails to push above $3600. This weakness is likely to continue now that the much awaited Bitcoin (BTC) ETF has been withdrawn. In spite of this market weakness, there is one crypto that has showing strength, and that’s Tron (TRX). Tron (TRX) has been on a sustained uptrend for the past few weeks, and seems to be breaking away from the rest of the market. If this continues and the market exhibits signs of prolonged weakness, Tron (TRX) could easily gain more bullish momentum for the next couple of months. Here’s why.
First, this uptrend could create FOMO around Tron (TRX), and this could significantly drive up demand in Tron. That’s because, if it’s the only major crypto giving gains, then investors will begin to look into it more. This buying pressure could see the value of Tron (TRX) rise significantly this year, when compared to other cryptos. Signs of such a scenario already there. Even as the rest of the market remains weak, Tron (TRX)’s volumes are on the rise. It’s an indicator that more investors could be turning to Tron (TRX) as their investment of choice.
Then there is the fact that Tron (TRX) has some solid fundamentals backing it up. Whenever, some random altcoin pumps, when the rest of the market is weak, the expectation is usually that they will dump. However, Tron is quite different, in that, it has some strong fundamentals backing it up. For instance, the number of Dapps launching on the Tron blockchain has been on the rise for the past one year. This is due to the efficiency of this blockchain. Tron (TRX) has very low transation costs, and is one of the most scalable platform blockchains out there. This means that over time, Dapps will rise on Tron. Since Tron (TRX) is the native token for the Tron ecosystem, its value will keep rising over time as Dapps increase.
Then there is the aspect of marketing. Justin Sun is loved and hated equal measure for hyping up Tron (TRX). However, this is a positive thing for Tron (TRX), because it will play a role in drawing in new investors, especially now that it is showing signs of stregth relative to the rest of the market. Thanks to aggressive marketing and strong fundamentals, Tron (TRX) is likely to sustain its growing bullish sentiment.
From the charts, Tron (TRX) has formed a double top at $0.0275, which means it could correct within the day. However, if it continues with its bullih momentum and breaks above $0.0275, then it would be signal to increased bullish sentiment, and could see the value of Tron rise from that point all through the week.
In the very short-term, Tron (TRX) is likely to rise to $0.035 as the first short-term resistance. More long-term, Tron (TRX) is likely to test $0.10, even if the market continues trading sideways for the rest of the year. It’s definitely the crypto to watch in 2019 and beyond.