Tron (TRX) continues to maintain a solid bullish trajectory in recent weeks, clearly reflecting both technical strength and growing confidence from the investor community.
At the time of writing, TRX is trading at $0.3401, firmly above an important support zone. This is a signal that the current upward trend remains healthy, not yet falling into an overbought state – which is typically identified when the Mayer Multiple exceeds 2.0.
Currently, the Mayer Multiple ratio of TRX is at 1.28, equivalent to a price level 28% higher than the 250-day moving average.
This data indicates that Tron’s upward momentum is supported by solid fundamental factors, rather than relying solely on a short-term wave of excitement, thereby opening up significant room for sustainable growth in the near future.
Tron breaks out of the accumulation zone – paving the way for a new rally?
After several months of quietly accumulating in the range of $0.20 – $0.30, TRX has unexpectedly surged, decisively breaking the resistance level of $0.30.
This breakout not only marks a strong comeback but also opens up potential growth space of up to 32%, heading straight towards the $0.45 mark. The bullish momentum is reinforced by the RSI index maintaining a steady upward trend, currently around 68.
This figure indicates that buying power is overwhelming but has not yet fallen into the overbought territory – a clear signal that the bulls still hold control of the game. If the bullish sentiment continues to spread, this breakout could very well serve as a launchpad for further advances.
Stable funding rate – a signal of optimism?
According to data from Santiment, the funding rate of TRX in recent sessions has maintained a slight positive level of 0.01%, reflecting a trend leaning towards the bulls but not overly extreme among leveraged traders.
This stability contrasts with the sudden spikes often seen during hot rallies, indicating a bullish sentiment but without excessive risk.
Additionally, the stable funding rate implies that bulls and bears are in a relatively balanced state, creating a cautious leverage environment – a factor that helps maintain Tron’s upward momentum without triggering strong corrective moves due to positions being pulled too far.
Increased attention on social media – leverage for liquidity?
At the time of writing, TRX's Social Dominance index has surged to 1.10%, reflecting an increasing wave of interest and online discussion surrounding this coin.
Typically, this trend indicates that the asset is attracting the attention of a large group of retail investors, thereby improving liquidity and creating additional short-term bullish momentum.
Notably, this time, Tron’s ‘frenzy’ on social media is not just a temporary effect. It is accompanied by solid technical signals, further reinforcing the bullish narrative – as long as positive sentiment continues to be maintained.
Are the bears quietly preparing for a reversal?
Currently, the Long/Short ratio of TRX stands at 0.90, with 52.47% of positions leaning towards the bears and 47.53% belonging to the bulls.
This slight discrepancy suggests that the market still harbors some skepticism about Tron’s breakout potential, or it is simply the result of a risk-hedging strategy from some traders.
However, if TRX continues to maintain its upward momentum, this balance could become a catalyst for a ‘short squeeze’ wave – when the bears are forced to close their positions, inadvertently adding further upward pressure to the price. Therefore, the evolution of the Long/Short ratio will serve as an important ‘gauge’ to forecast strong fluctuations or the continuation of trends in the short term.
Prospects for maintaining Tron’s upward momentum in the coming weeks
Tron’s breakout is being reinforced by a solid foundation: the Mayer Multiple remains at a healthy level, the funding rate is balanced, and there is an increasingly strong wave of interest from the community. This suggests that the current upward momentum is not just a temporary frenzy but the result of sustainable factors.
Although the bears still hold a slight advantage, prolonged upward pressure may force them to close their positions, thereby adding fuel to the upward trend.
If technical signals and market sentiment continue to align, TRX has a strong potential to break out to higher price ranges while maintaining the necessary stability for the market.