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Is TRX Setting Up for a Repeat of 2021? How to Spot Smart Money Moves Before They Happen
In the latest trx news, TRX is demonstrating impressive strength as the broader cryptocurrency market gains momentum. With Bitcoin inching towards a new all-time high and altcoins following suit, optimism is returning to traders. According to top analyst Darkfost, TRX’s trend has shifted into a clearly positive territory that no longer requires further validation. This asset has maintained a steadfast bullish structure, even during consolidation phases, indicating a solid foundation for upcoming price movements.
As the market regains its footing, Darkfost has highlighted an intriguing signal that could mark the beginning of a new acceleration phase for TRX. This signal, derived from trading volume analysis, suggests a cooling-off period that often precedes significant price increases. Historically, similar volume dynamics have led to substantial rallies, reinforcing bullish sentiment among traders. As Bitcoin continues to influence market sentiment, TRX is well-positioned to capitalize on this renewed positive energy.
TRX Market Structure: Cooling Volumes Hint at a Potential Breakout
The Spot Volume Bubble Map, a tool that visualizes trading volume trends, currently indicates a notable cooling phase for TRX. This decline in spot volumes over recent sessions is often a precursor to increased volatility. Although low trading activity might initially appear to signal a lack of interest, historical patterns reveal a different story for TRX. Darkfost emphasizes that such conditions have frequently set the stage for major bullish movements.
For instance, in July 2021, TRX experienced a sharp drop in volume, followed by an impressive price surge from $0.05 to $0.12. A similar scenario unfolded in October 2024, where volumes cooled before a significant rally from $0.15 to $0.43. In both instances, reduced trading activity was not a sign of weakness but rather a consolidation phase for long-term investors preparing for the next breakout. Consequently, the current cooling phase may represent a healthy consolidation period rather than a loss of momentum.
As price action stabilizes and volatility compresses, TRX is forming a robust support base. This environment allows smart money to accumulate positions discreetly. Should market liquidity return alongside upward movements in Bitcoin and other altcoins, this could serve as the launchpad for a short-term rebound or even signal the onset of a new acceleration phase for TRX.
TRX Price Analysis: Consolidation Before Potential Upside
Currently, TRX is trading around $0.344, demonstrating resilience as it consolidates near short-term resistance levels. The price has shown a steady recovery from late September lows near $0.32 and is stabilizing above both the 50-day and 200-day moving averages. This trend indicates a healthy medium-term market structure. Notably, the 50-day moving average (MA) is curving upward, suggesting renewed momentum, while the 200-day MA continues to provide essential long-term support.
This setup mirrors previous consolidation phases that preceded significant upward movements. The green 100-day MA also aligns closely with current price action, establishing a convergence zone that often indicates impending volatility expansion. Resistance levels remain between $0.35 and $0.36, a crucial area that has historically limited upside attempts since early September. A confirmed breakout above this resistance could pave the way toward $0.38 to $0.40, potentially resuming the broader bullish trend observed earlier in the year.
On the downside, immediate support is positioned near $0.33, followed by $0.32, which has held strong through multiple retests. If the price stabilizes and breaks above resistance, TRX could become one of the standout performers in this bullish cycle of the cryptocurrency market.
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