The cryptocurrency space has been in a bit of turmoil over the past week or so due to a variety of reasons, and the pressure was felt by TRON (TRX) as well. On Monday, there was a massive selloff in the token, and there were concerns over whether the crypto market still believed in the project or not.
However, things have now improved, and the TRX token has now managed to get back to $0.0163 per token. That being said, experts do not actually believe that the token is primed for any kind of bull run at this point in time. That being said, TRON has soared about 20% over the past three trading sessions.
TRON had a 10% fall on November 19 after the founder of the coin, Justin Sun, was among those who would no longer have access to his bank account.
Key Analysis
When the price of TRON actually dropped earlier this week, some keen watchers of the token had observed that the price action was a case of shaking out the weaker traders in the market.
While that may be the case, it should be noted that traders have now returned, and it cannot be doubted that the market still believes in the whole project.
At the end of the day, the viability of a token is closely tied to the project that is backed by it, and hence, the rebound by TRX this week is a welcome development for its traders. Another reason behind the fall in the price of TRX was the action against the smaller Chinese crypto exchanges. Additionally, the swirling rumors with regards to IDAX and Gate.io did not help matters for the cryptocurrency either.
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On the other hand, there was also a significant outflow of TRX from Upbit, a South Korea-based exchange, and that has also been cited as a reason behind the selloff in TRON on Monday. It remains to be seen how the coin will perform over the weekend.
At the time of writing, TRON is trading higher by 13% at $0.163.
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