TRX Whales Have Begun Selling. Price Remains Resilient. Will Tron (TRX) Breakout From This Resistance?

In a market development that has caught many traders by surprise, large holders of Tron (TRX) have begun selling off their positions.

Major holders, also known as "whales," have been selling off their large Tron (TRX) positions in a market development that has surprised many traders.

These major players have decreased their activity in recent days, with high-volume transactions dropping from over a thousand to just a few hundred.

The data shows whales sold approximately 231 million TRX recently.

Credit: Santiment

This level of selling from major investors usually signals caution or profit-taking.

However, the price of TRX has shown resilience despite this selling pressure. The token recently hit a high of $0.2739 and has managed to stay above the $0.27 level.

This price stability in the face of whale selling suggests that smaller investors might be stepping in to buy the tokens being sold.

This could indicate a shift in TRX market dynamics, with retail traders taking a larger role in price movements.

Technical Indicators Remain Bullish

One key factor supporting TRX's price is the recent formation of a "golden cross." This occurs when a short-term moving average crosses above a longer-term one.

For Tron, the 50-day Simple Moving Average crossed above the 100-day SMA. Since this technical event, TRX has climbed about 11%.

The price continues to stay above both the 50-day and 100-day averages. This suggests buyers are still active in the market.

As long as TRX holds these technical levels, analysts believe it could attempt to break through the $0.28 resistance.

If successful, this could open the door to the $0.30 level, which many investors are watching.

Strong support exists around $0.23, where the 100-day and 200-day moving averages are converging. This technical support zone could help to protect against any price corrections.

While whale selling might seem bearish at first glance, it may actually pave the way for healthier market behavior. A market less dominated by whales usually has more balanced participation and potentially more stable growth.

Tron Overtakes Ethereum in Stablecoin Activity

In another development, Tron has overtaken Ethereum (ETH) in stablecoin transaction volume.

Over the past week, the USDT/USDC volume on Tron increased by $2.12 billion. During the same period, Ethereum lost $2.44 billion in stablecoin liquidity.

This data from Lookonchain shows a significant shift in transactional activity.

Stablecoins (USDT&USDC) on Tron increased by $2.12B last7d, and stablecoins (USDT&USDC) on Ethereum decreased by $2.44B.

It seems users prefer using Tron for transferring stablecoins.

The total USDT supply on Tron has now reached a market cap of $73.8B, which is greater than Ethereum's USDT market cap of $71.9B.

This leadership in the stablecoin space marks a major achievement for the Tron network. It showcases the growing adoption of Tron for everyday transactions.

Such increased network usage could have positive implications for the TRX token price. The token is used for transaction fees on the network, naturally increasing demand as activity on the chain rises.

At the time of writing, TRX is currently trading at $0.2653. Its 24-hour trading volume has surged by 69.18% to $938.02 million.

The next few days will be crucial for the price action of TRX. Investors will be watching to see if it can break past the $0.28 resistance level.

If the buying pressure continues and the momentum remains strong, then TRX may test the psychological $0.30 level. This would be a significant milestone for the token.

For now, the technical outlook for TRX remains positive despite the recent whale selling activity. The presence of strong support levels and promising technical indicators suggests the potential for further upward price movement.