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- TRX trading in ascending channel with healthy pullbacks.
- Futures metrics indicate more room for upward movement.
- Spot market demand and strong longs support continued rally toward $0.40.
Over the past two months, Tron (TRX) has traded within a steady ascending channel, showing resilience despite minor pullbacks. At press time, TRX is trading at $0.357, down 2.12% on the daily charts, after posting gains of 5.48% weekly and 19% monthly. Analysts suggest that the cryptocurrency’s momentum, backed by healthy futures and spot market activity, could propel TRX higher in the coming weeks.
Futures Signal Room for Growth
CryptoQuant analyst Burak Kesmeci highlights that Tron’s Futures Volume Bubble Map points to further short-term upside potential. Red-toned bubbles typically indicate overheating, as seen in December 2024 when TRX surged from $0.26 to $0.45. Currently, the metric remains in a neutral zone, suggesting that futures activity is balanced and primed for growth without excessive risk.
Long Positions Quietly Exiting
Despite favorable futures signals, some long positions are being closed. Santiment data shows Tron’s Open Interest dropped from $340 million to $313 million, a $27 million decline, indicating investors are exiting positions. However, Tron’s Funding Rate has stayed positive for four consecutive days at around 0.01%, suggesting that while weaker hands are leaving, strong longs remain, maintaining bullish momentum.
Spot Market Strength Supports Uptren
AMBCrypto analysis reveals that Tron continues to see healthy demand in the spot market. The Spot vs Perpetual Premium Averaged Out Dollar is positive at 0.0014, while the Relative Strength Index (RSI) sits at 74, near overbought levels. Positive spot premiums and a high RSI point to genuine buying pressure, indicating strong accumulation from investors who are less likely to sell quickly.
Tron’s combination of stable futures, ongoing spot market demand, and strong remaining long positions supports the continuation of its uptrend. If current trends persist, TRX could reclaim $0.37 and target $0.40. Conversely, a slowdown in spot buying alongside declining open interest may see a retracement to $0.33. Investors should monitor both futures and spot activity to gauge TRX’s next moves.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses
Also Read: Tron (TRX) Rally Strengthens After Breakout, Eyes $0.45 Price Target
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
