- Tron’s TRX cryptocurrency was among the biggest gainers in the last 24 hours, rising by more than 5 percent.
- The upside move appeared as Justin Sun, the founder of Tron, announced a protocol upgrade that would introduce privacy features to its smart contracts.
- TRX’s rise also coincided with a bullish technical indicator known as “Golden Cross.”
Tron’s native cryptocurrency rose by more than 5 percent on a 24-hour adjusted timeframe, supported by a combo of bullish technicals and fundamentals.
The TRX/USD exchange rate hit $0.0186 on Monday, its highest level in the last three months. The gains followed a price rally yesterday after Justin Sun, the founder of the Tron Foundation, announced a protocol upgrade. In a tweet issued on Sunday, he wrote:
“After nearly a year in development, TRONZ’s Smart Contract Privacy Protocol will finally be released as an integral part of TRON 4.0 protocol on July 7.”
In an attached letter, Mr. Sun claimed that theirs would be the first blockchain platform that “hosts a smart contract privacy protocol.” Meanwhile, he added that TRX transactions would remain non-anonymous, citing Tron’s need to comply with global regulations and policies.
“TRONZ Smart Contract Privacy Protocol will fully support all TRC20-standard tokens on the TRON network, whether issued or not,” the letter read. “Developers can adopt the shielded transaction feature by merely implementing the smart contract.”
The positive news helped TRX to rise substantially on Sunday while maintaining those gains in the ongoing daily session.
Meanwhile, the TRX/USD’s move uphill formed a “Golden Cross” – a bullish indicator that gets confirmed when an asset’s short-term moving average crosses over its long-term moving average. On Monday, Tron’s 50-day MA closed above its 200-MA, indicating a long-term upside move soon.
The 50-200 MA crossover appeared for the first time since February 11, 2020. Back then, its occurrence failed to result in a massive upside rally. Part of the reason was a global market sell-off caused by the COVID pandemic. Every crypto asset plunged violently, including Bitcoin and Ethereum.
On the other hand, another Golden Cross formation on TRX/USD daily chart resulted in a bull run.
That was in 2019, wherein the pair rallied by as much as 59 percent after the 50-200 MA crossover. With the pandemic worries behind and a global market recovery midway, TRX could surge higher after the current Golden Cross formation.
Meanwhile, the cryptocurrency lacks adequate volume to embark on a price rally. Its lower liquidity could also mean that traders can drive their prices lower.
Let’s block ads! (Why?)