Key Levels To Watch as TRON Enters Overbought Territory, Raising the Risk of a Correction

According to data from analyst BorisVest shared by CryptoQuant while the broader momentum behind TRON remains bullish, the current conditions suggest the asset may be due for a cooling-off period. Overbought signals typically indicate that a price rally may be overextended, and a consolidation or pullback could follow as the market seeks equilibrium.

Key Support and Risk Levels

Analysts pinpoint the base support level around $0.25, which remains a crucial zone for maintaining bullish momentum. Should TRON test this level during a correction and hold, the price action could stabilize and resume its upward trajectory.

However, the risk escalates if TRX breaks below the $0.24 threshold. Falling under this key level could trigger a move into oversold territory and open the door for sharper corrections.

“The market may shift from overbought to neutral as it consolidates,” CryptoQuant data indicates. “But a breakdown below support may result in amplified downside volatility.”

What to Watch

Traders are advised to closely monitor:

RSI and momentum indicators for signs of reversal. Price behavior around the $0.25 and $0.24 support zones. Volume dynamics that could confirm or reject a correction.

While the long-term outlook for TRON remains constructive, short-term caution is warranted as the asset navigates its current overbought status.

The post Key Levels To Watch as TRON Enters Overbought Territory, Raising the Risk of a Correction appeared first on Coindoo.