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Tron whales may hinder $45M profit potential amid price surge

Tron whales may hinder $45M profit potential amid price surge

GrafaGrafa2024/08/20 10:20
By:Liezl Gambe

Tron (CRYPTO:TRX) is currently in an uptrend, but the broader market is characterised by a mix of demand and profit-taking.  

A significant factor influencing this situation is the activity of TRX whales, who are selling off their holdings, potentially obstructing further price gains.  

Over the past 72 hours, addresses holding between $1 million to $10 million worth of TRX have sold off more than $23 million of their holdings, reducing their total supply from $624 million to $601 million.  

This selling spree appears to be driven by profit-taking, as TRX has been steadily rising.  

However, this could prove detrimental to the token's future growth and to investors who have seen profits in recent days.  

Tron’s price is currently aiming to breach the $0.137 resistance level, which could pave the way for a rise to $0.144.  

According to the Global In/Out of the Money (GIOM) indicator, over 336 million TRX were purchased in this price range, with a collective value exceeding $45 million.  

If TRX reaches its year-to-date high, these holdings would become profitable.  

Currently trading at $0.136, Tron has benefited from a recent 7.6% rally.  

However, breaking above the $0.137 resistance remains uncertain.  

Failure to close above this level and turn it into support could lead to a price decline, with the ongoing whale sell-off potentially pushing TRX down to the 61.8% Fibonacci Retracement level.  

This level serves as a critical support line in bull markets and could prevent further losses.  

On the other hand, if demand outpaces the impact of whale selling, TRX could surpass the $0.137 level.  

A rebound off this resistance could propel Tron’s price to $0.144, marking a new high for the year.  

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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