Tron’s [TRX] latest rejection might have the following implications

ambcrypto.com:

Disclaimer: The findings of the following analysis are the sole opinions of the writer and should not be considered investment advice

Earlier in April, TRON broke out past a critical level of resistance on the price charts. News of the release of its native stablecoin, USDD, saw the coin surge by nearly 20% after this resistance was retested as support. Longer-term traders and investors have already seen wild volatility on TRON price charts in recent weeks.

In the next few days, the possibility of a further downside would be magnified if TRX breaks down beneath the aforementioned crucial horizontal level.

Source: TRX/USDT on TradingView

The critical level of support is the $0.062 horizontal level. Earlier this month, it acted as both support, resistance, and support once more as TRX dropped to $0.0579 and rebounded. Another area to watch out for is the $0.063-$0.065 zone.

At the time of writing, the price was inside this zone, which has been important all through 2022. If TRX drops below $0.063, it would be likely that the price would descend further in the next couple of weeks. However, a weak bounce could materialize from within this zone.

Based on the down move from $0.079 to $0.057, a set of Fibonacci retracement levels (yellow) was plotted. It showed the 78.6% and 61.8% retracement levels to be at $0.074 and $0.071. On the 12-hour chart, the price was unable to push past the former level and unable to close above the latter.

Combined with the losses of the past week, it indicated a firm rejection at resistance for TRX. It also pointed to further downside towards $0.062 and possibly lower.

Source: TRX/USDT on TradingView

The RSI managed to climb above neutral 50 and stayed there for a few days. However, at the time of