The TRON Foundation was set up by Justin Sun with the aim of creating a decentralised content sharing platform to change the entertainment industry. Once the TRON platform is fully deployed, it will allow content creators to interact directly with customers, thereby cutting the middlemen including the likes of Apple, Google and Facebook, and ultimately give back full ownership of the content to the creators. To complement the platform, the Tronix (TRX) coin was created, with a total supply of 99bn tokens.
While the main purpose of the coin is to act as the native medium of exchange, speculators have been eyeing TRX after an exponential rise in December 2017. However, many hodlers who rode the rally have been hit hard as the coin followed the crypto market in a long and deep correction that saw the price drop by more than 90%.
We are currently approaching the end of the road in this year-long bear market as we enter the final move as a wave (v) of C to complete the larger degree wave (2). The recent spike to $0.03 marked the completion of wave (iv) of C as it hit the 38.2% retracement of the wave (iii) move down, the most common fibonacci level for a wave 4 to hit.
My primary expectation is for TRX to resume the downtrend in the coming days and target the 61.8% retracement of the full wave (1) move at $0.0116, potentially undershooting to hit the 1 cent mark, a strong psychological level for hodlers, some of whom will give up on the coin just as it starts it’s next bull cycle. Given its volatile nature, there is a chance for TRX to drop below that target and aim for the 76.4% level at $0.0053. That really depends on where the price will be once Bitcoin and Ethereum find a bottom, as I expect it to follow the general crypto market trend.
Either way, the ensuing rally looks really promising as it enters the primary wave (3) cycle which will last some 2-3 years. The fibonacci levels project a truly exponential rise that translate to a gain of over 1500x from trough to peak! (yes, you read that right). I will be able to provide a more accurate long-term projection once TRX approaches a bottom. Regardless of the short-term price action, early adopters of the TRON platform will be rewarded many fold for moving to what looks to become a truly decentralised internet.
You can read my latest articles here, where I provide technical analysis on the top cryptos:
- ETH Technical Analysis: When is this Correction Going to End?
- DASH Long-Term Analysis: The Future is Bright
- EOS Short-Term Analysis: Estimating a Bottom
Recommended2 recommendationsPublished in