Tron (TRX), the native cryptocurrency of the Tron blockchain, witnessed a significant surge over the weekend. The token spiked 10% yesterday, buoyed by recent developments within its ecosystem. However, at the time of writing, it has undergone a slight correction, but all signs point to this could be a bullish signal.
Tron peak due to the launch of the Bittorent bridge
The reason behind this latest surge can be attributed to the recent launch of the BitTorrent Bridge platform, which now allows users to seamlessly transfer their TRX tokens between the Tron blockchain and Ethereum. Justin Sun, the founder of Tron, confirmed this development on the morning of June 2.
The BitTorrent Bridge serves as a decentralized system that enables token interoperability between different blockchain networks. Developed by the Tron organization led by Justin Sun, this platform strengthens the partnership between BitTorrent and Tron. A notable example of their collaboration is the BitTorrent Live streaming service, which was launched in 2019 and works in conjunction with Tron’s system.
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The integration between TRON and Ethereum via the BitTorrent Bridge opens up new possibilities for TRX users while improving interoperability between these prominent blockchains. This breakthrough expands Tron’s presence within the Ethereum ecosystem and has the potential to drive greater adoption of TRX among Ethereum users.
It is important to note that TRX initially existed as an ERC-20 token on the Ethereum network before being migrated to the main TRON network in mid-2018. Since then, Tron has grown to become one of the largest blockchains, currently handling 40% of USDT transactions.
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Tron Price Analysis
Analyzing the current price performance of Tron, the coin is currently trading at $0.0805. In addition, Tron has the potential to maintain its position above the moving averages. If the $0.085 resistance level is breached, it could act as a catalyst for a bullish trend, potentially leading to further price increases.
Market sentiment appears optimistic as buyers continue to show strong engagement. Based on the daily chart analysis, a new upward move in the market price is possible. Therefore, if Tron crosses the upper limit of the channel, it could further strengthen the market and reach resistance levels of $0.095, $0.100 and $0.105, respectively.
Conversely, there is a chance of a downside correction with the USD 0.082 support level being a potential target. However, if sellers gain momentum, traders should anticipate a further decline towards support levels of $0.075, $0.070 and $0.065, respectively. In addition, the Relative Strength Index (14), a technical indicator, is currently in overbought territory, indicating that the bullish trend may continue.
The price of Tron against Bitcoin maintains its position above the 9-day and 21-day moving averages, indicating a possible move towards the 330 SAT resistance level. However, this resistance level is expected to be convincingly surpassed, leading to a market price closing above it.
– Featured image of Invezz, chart from TradingView.com
