Tron is enjoying a lot of positive momentum these days, trending higher inside an ascending channel with its higher lows and higher highs. Price is currently testing the channel top and might need a correction to support before more buyers join in to sustain the uptrend.

Applying the Fibonacci retracement tool on the latest swing low and high shows that the 61.8% level lines up with the channel support around 0.02300. A shallow pullback could find support at the 38.2% Fib at the mid-channel area of interest around 0.02500 or the 50% level at 0.02400.

The 100 SMA is safely above the longer-term 200 SMA to confirm that the path of least resistance is to the upside. In other words, the uptrend is more likely to resume than to reverse. The 100 SMA also coincides with the 38.2% Fib to add to its strength as a floor.

RSI is pointing down to signal that sellers are in control and could push for declines from here. Stochastic is already on the move down so Tron might follow suit first before oversold conditions are seen. Both oscillators have a lot of ground to cover before hitting oversold levels, which suggests that sellers could hold on to the upper hand for the time being.

Still, Tron is riding high on expectations for the BitTorrent cryptocurrency BTT that is built on the Tron platform. Recall that this was acquired by Justin Sun a few months back and would likely catapult Tron itself towards mainstream adoption. In a press release, Sun noted:

In one giant leap, we can introduce blockchain to hundreds of millions of users around the world and empower a new generation of content creators with the tools to distribute their content directly to others on the web.

BTT can be used by clients to pay someone with the file to send it to them and they can pay for more bandwidth, thereby increasing download speed.

Images courtesy of TradingView