- Tron’s Relative Strength Index (RSI) was overbought at press time
- TRX’s benchmarks and market indicators strongly favored the bears
Tron’s [TRX] last week’s price action was extremely sluggish as it registered negative growth. New data from CryptoQuant revealed that the coming days could be even worse as TRX’s RSI was in an overbought position. This indicated a further drop in its price.
At the time of writing, TRX was down more than 1% in the last 24 hours and was trade at $0.05328 with a market cap of over $4.9 billion. However, TRX may see a change in trend considering the last few developments.
Read Tron’s [TRX] Price Prediction 2023-2024
Where does Tron stand?
Last week, the Dominican government gave Tron a grant to issue Dominica’s national token. This was an optimistic update as it reflected greater adoption of Tron on a global scale. Justin Sun, the founder of throne, also joined the Reuters NEXT Leadership Summit online and gave several interviews on the theme of “crypto winter.”
🧐Look out #THRONE Highlights of this week (26 Nov 2022 – 02 Dec 2022).
— TRON DAO (@trondao) December 3, 2022
Nevertheless, things didn’t seem to be working in TRX’s favor on the metric front. For example, since the beginning of this month, Tron’s total value witnessed a downfall. Furthermore, Santiment’s chart revealed several more statistics indicating a price decline.
For example, TRX’s development activity has slowed over the past week. TRX’s volume also followed a similar path and declined. In addition, TRX also failed to garner interest from the derivatives market as its Binance funding rate was consistently low.
At the mercy of the bears
Not only the benchmarks, but quite a few market indicators also supported the bears. TRX‘s money flow index (MFI) was hovering around the overbought zone, which was a negative signal.
The 50-day exponential moving average (EMA) (red) was also significantly above the 20-day EMA (green), further increasing the chances of a downtrend. However, the Moving Average Convergence Divergence (MACD) provided some much needed relief as it revealed that the bulls still have the upper hand in the market.