Analyzing TRX’s Potential Price Trajectories Following a 2.7% Decline and Whale Offloading

As of April 18, 2025, TRX (Tron) has experienced a notable 2.7% price drop, accompanied by significant sell-offs from large holders, commonly referred to as ’whales.’ This development has prompted market analysts to reassess the altcoin’s short to medium-term price targets. The sell-off by whales often signals a shift in market sentiment, potentially indicating reduced confidence or profit-taking behavior. Traders and investors are now closely monitoring key support levels and trading volumes to gauge whether this downturn is a temporary correction or the beginning of a more sustained bearish trend. Technical indicators such as RSI, moving averages, and Fibonacci retracement levels are being scrutinized to identify potential entry or exit points. Additionally, the broader cryptocurrency market conditions, including Bitcoin’s performance and macroeconomic factors, are being considered in evaluating TRX’s future price movements.

Large traders force TRX to trend lower

TRX’s decline over the last 24 hours has been driven by large holders in the market holding a significant supply of the asset. This group, over this period, has sold a cumulative total of over 8.27 million TRX worth $2 million.

Source: IntoTheBlock

However, the decision to sell is a deliberate effort to reduce the risk of recording losses after gaining by 9.84% in the past few weeks of holding. Especially with the asset trading into a key resistance level on the Bollinger Bands chart.

The Bollinger Bands are a technical indicator consisting of three levels – The upper band (resistance), the lower band (support), and the middle band, which interacts between a resistance and support level.

Trading into the upper resistance tends to lead to a price decline historically. And, this scenario is likely no different. However, there may be two levels of interest – The mid-zone, which could potentially act as a support level at $0.2398 (A cushion and rebound level), and then the lower band support of $0.2246.

Source: TradingView

AMBCrypto used the Average Directional Index (ADX) to determine whether the downtrend is strong or weak, suggesting the latter to be the case.

With the ADX trending upwards, it implied that the prevailing price decline will extend and that TRX will continue to drop lower on the chart. Owing to the same, it could potentially go below the mid-level band.

Bullish environment remains intact

Despite the drop, however, the bullish environment in the market has remained intact. In fact, the Global In and Out of Money Around Price has maintained a level of positive sentiment in the market.

At the time of writing, over 84% of TRX holders were in profit. This tends to be an incentive for them to continue holding, even when the market drops.

Source: Artemis

Additionally, the TRON blockchain generated over $2.2 million in trading fees within the last 24 hours – The highest across all other blockchains. This implied there’s more activity going on in the chain and more users – A net positive.

For now, the overall market structure is bullish. This means the drop in price will likely be followed by a price rebound.