TRX/USDT / Buy| S6T4 - Team Trading Post for TEAM FRONTLINE
Hi Professor @abdu.navi03 I am @ononiwujoel one of your students in Crypto Academy and a member of the steemit platform. I'm participating in the crypto Academy competition as a member of your group Frontline this week.
For today's submission I'll be analysing and Trading with a TRX cryptocurrency.
Introduction and Background of TRX Cryptocurrency
TRX also known as Tronix is the native token of Tron Ecosystem. Tron is a decentralized blockchain network built with the aim of improving first blockchains like the Bitcoin and Ethereum as well as the crypto industry at large in terms of low energy consumption, scalability, low cost, usability and speed.
Tron network is a top player when it comes to Web 3 applications and smart contracts because it largely supports content creation and sharing platforms where users are rewarded, blockchain games, dApps and several projects including staking platforms, AMMs, Exchanges and Web applications. Tron is also one of the top options for digitalizing the entertainment and content creation industries.
Tron uses the Proof-of-Stake consensus protocol to secure its blockchain and uses a three layer structure that includes the core layer, application layer and storage layer. The PoS consensus algorithm makes the governance of the platform based on the amount of TRX tokens held by the users including their bandwidth and energy which is improved by staking TRX.
Apart from being one of the most popular and largest crypto networks in the crypto industry, Tron network is very scalable with a very low cost, high throughput, high speed and flexibility. These advantages makes it attractive to developers interested in created smart contracts, new tokens and dApps on the blockchain.
Tron initially started as an ERC-20 token running on the Ethereum blockchain before it moved to its own Blockchain after which the TRC-10, TRC-20 and other TRX powered cry tokens were created.
Tron was founded in 2017 by Justin Sun and had its ICO same year from 31st August to 2nd September where over $70 million was raised in sales of 101,900,409,184 TRX tokens. Its mainnet was launched the following year in 2018 before the full transition began.
Tron has also had some setbacks in its history including when it's network was proven to be vulnerable to DDoS attack in 2019 by HackerOne cyber security service and also in its earlier stages after launch of its mainnet when the platform was accused of plagiarism and using plaigiaized contents in its Code.
TRX currently ranks #25 on coinmarketcap with Market capitalization of $7,295,302,470.52, 24hr trading volume of $1,680,589,776.17, Market dominance of 0.34% and circulating supply of 101,691,590,830 TRX. The total TRX created are in circulation as well.
TRX Markets
TRX is a very popular cryptocurrency and is available on almost every major crypto platforms including Yield farming and staking platforms, blockchain games platforms, DEX wallets and crypto exchanges like Binance, Huobi Global, Gate.io, Kucoin, Bitfinex, Poloniex, Bittrex, Pancakeswap, OKEx and several others with several hundreds of pairs for trade.
Why you are optimistic about this token today, and how long do you u wish it can rise.
TRX is widely used and recognised cryptocurrency with an impressive success story and a great roadmap which it has followed up till date, crossing several milestones and seeing many improvements over time. TRX is widely recognised as a top content sharing and entertainment supporting platform on which many projects are already established and many more being created ranging from dApps, smart contracts, DeFi platforms, AMMs, Exchanges, Staking platforms, web applications, blockchain games and social platforms.
TRX is also used for storage of value and for trading goods and services with a very high transaction speed, low cost and impressive scalability.
So this project is actually a valid one which will definitely last long and add more value to holders and the crypto industry over time.
Moreover TRX was trading at $0.0019 in 2017 during its ICO but today its around $0.07 which is over 3, 800% growth. So this asset has growth potentials and is likely to hit $2 in no time.
From the TRX/USDT chart above with a 2hr time frame we can observe that the market had a ranging phase after which it broke into a bullish trend and has continued seeing higher highs and higher lows with some strong retracements which is also normal with a long bullish trend. At the end of price movement we can observe there was a strong retracement after which the bullish resumed.
The A/D Indicator below also confirms the long bullish as it retains its upwards movement.
So this shows that TRX is now on a strong bullish phase and with the gradual surge of prices in the crypto market this asset will hit the $1 Mark again soonest.
Technical Analysis of TRX using knowledge gained from Crypto Academy
In this section I'll be using price action and different technical indicators to analyse this asset in different timeframes so as to get a clearer picture of the market structure and best trading options.
Using 1 Day Time frame
On the TRX/USDT chart above with a 1day time frame we have the median and volume indicators set up for analysis and we can observe that there was a strong bearish trend in the market that saw the price falling form $0.12 to $0.06. But we can also observe that this bearish trend is exhausted and the upper trendline resistance has been broken which is a sign of a bullish trend.
We can also observe that our median indicator has turned greenish to show signal of uptrend although the clouds are not very far apart to show increased volatility.
The volume indicator below also shows a number of bullish bars. So this chart gives signals of an uptrend but its not very clear for the meantime.
Using 3hr Time frame
We have a TRX/USDT chart above with a 3hr time frame and same indicators used in the 1day chart. On this chart however the new bullish trend is clearer and stronger. We can observe higher highs and higher lows with some retracements thereby confirming the bullish market.
The median indicator shows us the trends as well as trade momentum and volatility with its clouds. We can observe there was a purple cloud at the last retracement which has now turned greenish signalling that the bullish trend will continue
The volume indicator also confirms the bullish continuation with long bullish bars to show high trade activities and volume of which buyers are still leading.
Using 1hr Time frame
On the chart above we have TRX/USDT currency pair with a 1hr time frame. I've also added the Accumulation/Distribution (A/D) Indicator for confluence and better analysis.
We can observe that the bullish is also very clear in this chart and there retracements and trend continuations as the price continue showing higher highs and higher lows.
The median indicator confirms each uptrend and retracement and we can observe that there was a strong retracement towards the end of this chart where we saw a number of bearish candles and the median indicator showing purple but after this retracement we can see a trend continuation as the media is no showing green with increasing trade momentum
The volume indicator confirms high trade volumes with long bullish bars while the A/D Indicator also confirms the bullish market as it shows an upwards movement
Having analyzed a bullish trend in this asset with charts and other technical tools I can now make my trade entry with a buy trade.
I made my trade entry at $0.072 with my stop loss at $0.70 and Take profit at $0.075 thereby give a Reward/Risk ratio of 3:2.
I'm using my Huobi Global account to make this trade entry
Having made the buy trade entry I can now await its execution
Your plan to hold it for a long time or when to sell.
I'm actually a short term trader that focuses on buy as much as I can when the market is on an uptrend and then sell when there's a bearish and Take my profit to buy again whenever the bearish ends. So I don't really hold assets for a long time and I'll be doing same thing with this asset. Summary is I will hold as long as there's a bullish or Accumulation stage and then sell when there's bearish so I'm holding for a short time
Do you recommend everyone to buy this token? Give reasons for your answer.
Yes I recommend TRX to everyone interested in Crypto assets because it has lots of potentials and usability in the crypto space. TRX is a great project that has recorded successes over time, rates among most popular and accepted crypto assets and has many interesting projects running on its network.
TRX uses PoS which makes the larger account holders more influential in the network and earn more dividends so holding this token gives you more power to participate in its governance and community activities.
TRX can also be acquired and used in several Yield farming and staking platforms for passive income
TRX is a sure project with a large community support and market so its a great option for investment.
Conclusion
Tron network is an impressive decentralized ecosystem widely known for it's internet of content creation and Web 3 platforms structure. This network powers many dApps, smart contracts and tokens with many more under development. Tron offers a very low cost as well as scalability, speed, flexibility and high throughput. These advantages makes it a hub for developers and other users especially those interested in bringing entertainment and content sharing with rewards system into the digital world.
Tron network is also developing more attractive features and platforms on its blockchain which will likely add to its value and market growth in the long run
It was a great time analysing and Trading with TRX cryptocurrency and I really do appreciate it
Cc: Professor @abdu.navi03