The Tron price is bouncing back this week. The TRX price is trading at $0.1247, which is 40% above its lowest level last week. Tron is now valued at more than $8.96 billion and is the 19th biggest cryptocurrency in the world. It lies between Filecoin and Wrapped Bitcoin, according to data compiled by CoinMarketCap.
What happened: Tron is an under-the-radar cryptocurrency that is becoming popular in the blockchain industry. The currency is best known for Justin Sun, its vocal founder. It has also become a popular platform with billions of tether in its ecosystem.
Recently, it was reported that Tether on its blockchain has surged to $24 billion, which is higher than what is in Ethereum. Further, recent data by CoinGecko showed that Tron is the most actively traded cryptocurrency after Bitcoin and Ether. So, what next for the Tron price?
Tron price forecast
In my last TRX price prediction, I warned that its price would crash by about 25%. This prediction was correct as the currency retreated by about 28% to $1.0897. Since then, the currency has surged by morre than 40%. However, a closer look at the four-hour chart shows that this rally might not last.
For one, the currency is forming a head and shoulders pattern that is shown in red. This pattern is usually bearish. Also, the currency has formed a rising wedge pattern that is shown in black. Therefore, we cannot rule out a major pullback to below $0.08 in the near term. On the flip side, a move above the right shoulder at $0.1290 will invalidate this trend.
An earlier version of this article mentioned the wrong figures in the last paragraph.