It was a good day for the crypto market on Wednesday as prices flashed green following the news that Grayscale Asset Manager has won its longstanding case against the US Securities and Exchange Commission (SEC) for its Bitcoin ETF.
Cryptocurrencies responded positively with the global crypto market cap jumping 5% over the last 24 hours to the current value of $1.09 trillion. Bitcoin rose 10% at one point to trade above $28,000 before retreating the current level of $27,360, up 5.43% on the day.
TRX, the native token of the Tron network, is trading at $0.07683, up 1% on the day. The Layer one token has also captured the interest of investors as its 240-hour trading volume jumps 48% to $210 million. This has left many traders wondering whether this is enough to break TRON out of consolidation.
After completing the V-shaped recovery on August 23, TRX price has been underpinned by the $0.0775 resistance line forcing the token to move in a horizontal manner. At the time of writing, the article was fighting immediate resistance from the 200-day Simple Moving Average (SMA) at $0.07677.
If TRON moves in favor of the upside, it will produce a daily candlestick close above the said level with the next resistance arising from the 100-day SMA at $0.07833. Additional barriers could emerge from the $0.08 psychological level and the $0.0825 major resistance level.
Getting rid of these roadblocks would see the token rise to reach the range high at $0.085. Such a move would bring the total gains to 10.6%.
This positive outlook was supported by the upward trajectory of the Moving Average Convergence Divergence (MACD) indicator. Note that the 12-day Exponential Moving Average (EMA) was still moving above the 26-day EMA since flipping above it on August 22. This suggested that the market conditions still favored the upside.
On the downside, a drop below the 50-day SMA at $0.07615 would be detrimental to the bulls as it would set TRX on a free fall toward the bottom of the V-shaped chart pattern at $0.0700. This would represent an 8.94% drop from the current price.
Meanwhile, the position of the Relative Strength Index (RSI) at 50 on the middle line is an indication that the market sentiments are neutral for TRON. This means that the sideways price movement could continue for some time.
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