Recently, the daily transaction volume on the TRON (TRX) network surged, doubling compared to September 2023, from below 5 million to 9 million transactions per day. This has significantly contributed to the increase in network revenue.
At the same time, active accumulation by whales and lively interaction on social media are also providing positive momentum for market sentiment, reinforcing expectations of a sustainable bullish trend for TRX.
According to data from IntoTheBlock, up to 98% of TRX holders are in a profitable state — a ratio indicating solid accumulation levels.
Specifically, the Global In/Out of the Money tool recorded only about 4.48 billion TRX purchased in the price range from $0.288 to $0.455, a relatively small number compared to 28.39 billion TRX (equivalent to $7.4 billion) that has been gathered in the price range from $0.243 to $0.28.
This reinforces the view that the $0.24 – $0.28 area is serving as a strong demand zone, while selling pressure above is not too significant. Although profit-taking remains a factor to monitor, overall, buyers are clearly dominating the market.
The sellers of TRX have exhausted themselves.
According to data from Glassnode, the Net Position Change indicator on exchanges (tracking the movement of TRX amounts on exchange wallets over 30 days) is providing noteworthy signals.
Previously, when this indicator yielded positive results (as in March and late May), it meant that TRX was being sent to the exchange, often a sign of increased selling pressure. However, in the recent month, this indicator has turned negative, meaning that TRX is being withdrawn from the exchange, reflecting strong accumulation activity.
Notably, the trend of coin withdrawals is running parallel to the slight price increase of TRX, a development often seen as a positive sign for the bullish trend.
A similar pattern occurred in October 2024, just before TRX surged in November and December. This brings optimistic confidence to investors regarding the potential for a breakout in the near future.
However, it should be noted that TRX is still trapped in a sideways trading range since May. The upper boundary of this range is at $0.294 — a key resistance level that must be surpassed to confirm the continuation of the bullish trend.
According to data from CoinGlass, the liquidation map for the past month is sending warning signals to buyers as some hidden risks emerge.
Specifically, there are two notable 'liquidity vacuum' areas above — regions that concentrate a large number of liquidation orders, represented by hot-colored areas on the chart. The area around $0.29 is a clear liquidity point, but the zone from $0.295 to $0.3 is actually a stronger liquidity cluster.
This indicates that the price of TRX is highly likely to move up to these areas in order to 'seek liquidity' - a common phenomenon before sharp fluctuations.
However, after reaching the liquidity area, a bearish reversal could completely occur to sweep away the hasty long positions formed during the price increase. Notably, the $0.3 mark also coincides with the peak of the current price range, further reinforcing the reversal scenario.
Therefore, traders may consider entering long positions and taking profits in the $0.295 – $0.3 range. At the same time, they may also wait for a bearish reversal to enter short positions on this altcoin.
After that, traders can take advantage of a bullish breakout and successfully retest the $0.3 area as support, then continue to enter long positions.