Tron is staring at the abyss right in the face.
The twelfth largest cryptocurrency by market cap is looking to slip into a bottomless area of trading. Having crashed by almost 75 percent from its 2019 top against bitcoin, Tron appears weaker in its knees to jump back.
Data on CoinStats, one of the best cryptocurrency portfolio management apps, show TRX/BTC at 231 sats, down 2.57 percent on a 24-hour adjusted timeframe. The cryptocurrency is similarly weaker in the fiat market, down more than 6 percent in the previous 24 hours.
The reason for the prevailing downside sentiment is Justin Sun, the founder & CEO of the Tron Foundation. The flamboyant entrepreneur, who is notorious for his aggressive marketing technique, is under heat for his alleged role in a multimillion dollar Ponzi scam, pornographic distribution case, and an illegal crowdfunding campaign.
Sun got into further trouble after Chinese media reported that he had come under border control by the local police. He was to fly to the US to meet legendary investor Warren Buffett to participate in a charity lunch. Sun won the bid and paid $4.5 million to dine with the Berkshire chairman.
Later, Sun posted a video from San Francisco to refute reports about him under border control in China. A day later, he apologized for “over-marketing” his lunch date with Buffett.
Nevertheless, it was already too late for Tron, which suffered huge to decline in trust and confidence by investors.
What’s Next for Tron the Token?
The weekly chart offers no relaxation to the Tron bulls. The cryptocurrency has eaten through most of its crucial supports, the last at 259 sats. And now, it is heading even lower, eyeing 200 sats as its next downside target.
There is a sign of interim relief at 231 sats, where a pullback attempt has just taken place. Nevertheless, bitcoin’s growing dominance against altcoins, coupled with Sun’s credibility issues are getting in the way of a brief upside correction alongside a strict resistance level of 330 sats.
At best, Tron is hanging amidst two stubborn levels. Now which one of them would break first is a thing best left for the future.
Since you’re here, do let us know what you think about the Tron’s upcoming price behavior.