TRXUSDT BUY - S6W3 |Crypto Academy Trading Competition | Post for TEAM FRONTLINE

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Hello Steemians and fellow team mates, good afternoon to you all. It is a happy day to here again with yet a another post of the trading contest on Steemit Crypto Academy. Today I will be trading a rather Unique Currency the TRXUSDT pair.

1. Name and introduction of the project token.

TRON

Tron is a Decentralized Blockchain based operating system that primarily aims at hosting entertainment application. Developers and users can creat Decentralized applications for sharing of contents. The main purpose of Tron Blockchain was to help content creators monetize and get rewarded for their content. Tron cuts off the middle man like the case of Facebook, Instagram etc and let's viewers to be able to reward content creators directly.

TRON was founded by its CEO Justin sun who is the CEO of Tron Foundation which is a Non profit organization based in Singapore. The Blockchain operates on the Proof of Stake consensus mechanism. Tron was first of all running on the Ethereum Blockchain but later migrated to its' Blockchain in 2018.

TRX or Tronix is the official the native currency of the Tron Foundation. TRX is used on the platform to gain access to certain features and privileges. As I earlier mentioned, Tron was first running on the Ethereum Blockchain and so TRX was an ERC-20 token before migrating to it's own Blockchain. Like every other crypto currency, TRX is a store of value and a means of exchange. At the time of this post the following information could be gotten about the token

• Price: $0.06459
• Market cap : $6,569,278,632
• 24 hours trading volume: $875,569,701 and
• Circulating supply: 101.70B TRX

2. Why are you optimistic about this Token today, and how long do you think it can rise?

I have been optimistic about this currency for a while now. I will explain my reasons below

1. Reward Content creators. One of the unique purpose behind the creation of the Blockchain is to help reward content creators directly. Other platforms like Instagram reward content creators but the middle man usually posses as a barrier or challenge to this. Tron eliminates the middle man and let content creators connect directly with end users or viewers. This is an advantage as much more content creators are expected to join the platform

2. Strategic acquisition. Another unique aspect of Tron Foundation is it's strategic acquisition. The Tron Foundation under the leadership have acquired two very amazing platforms that is
   Steemit and BitTorrent. Both platforms
   are very unique and a great for the advancement of the Blockchains mission of rewarding content creators. This is a great reason why I am optimistic about it

1. Secure for Media Data sharing. One of the difficulties of data Sharing between platform is that the data or information can be lost during the process. However, with the security aspect of Blockchain technology and Tron, it is a relatively safe way of data Sharing.

3. Technical Analysis

In this section, I will be discussing the technical tools I used to analyse the trade before entering into it. I will be using Tradingview platform. For this trade, I decided to use two technical analysis tools/indicator.

Resistance and Support levels Breakout

The resistance and support level is one of the most strategies in the Financial trading world. It is used to identify entry and exit point on a chart. Resistance levels can be define as that price level where rising prices are expected to pause and reverse to a downtrend. Resistance levels usually serve as price ceilings as price is unable to pass this level. Resistance levels act as Sell entry point. A resistance breakout is when price breaks above the Resistance zone and continuous it's movement in an uptrend. Now when price breakout of this level, it is seen as a good signal for a buy trade.

While on the other hand, support is that price Level where the price of an asset is expected to pause and reverse to an uptrend. Support levels usually serve as price floors. Support levels act as buy entry point. A support breakout on the other hand is when price of an asset breaks the support zone. This is a Downtrend continuation and a good sell order signal

Now let's look at the chart of TRXUSDT below.

Looking at the chart above, I could identify a Resistance level. We can see that price of TRX experience several bounce or pause at this stage and reverse to a downtrend.
However, we can see that price was successful breaking out of the Resistance zone. So I saw this as a great position to enter a Buy option.

Traingular Moving Average indicator

The triangular Moving Average denoted as TRIMA, is trend base Indicator that is used to identify trend movement. The TRIMA Indicator smoothen out signals and is known for its accuracy in producing trading signals. However, it can produced false signals because it is a lagging Indicator.

Here I decided to combine Two TRIMA Indicators on the TRXUSDT price chart for better Signal. I used the 21 period which is the blue line and the 10 period which is the Red line on the chart. This are some of the criteria when using the TRIMA Indicators.

1. Crossover. The crossover is a very strong signal when using moving average Indicators. Crossover is when a moving average be it the longer or shorter crosses over or above the other. For a buy trade, a crossover is when the faster TRIMA in this case the 10 period TRIMA crosses above the longer/ slower TRIMA, in this case the 21 period.

2. The next signal is when both the fast and slow TRIMA Indicators are below price and in an uptrend. This is a bullish trend continuation confirmation and a sign to place a buy order.

Now haven looked into the criteria for a buy trade, let's see of we can identify it after adding the TRIMA Indicator to the price chart.

Looking at the chart above, we can see that there was a crossover that happened earlier. Also, to further Increase the strength of the buy signal, the TRIMA Indicators were below the price and in an upward direction.
Base on this, I decided to place a buy order with appropriate exit strategy.

4. Your plan to hold it for a long time or when to sell?

I am an short term traders, so looking at my trading strategy, you will noticed that it is always short term like the Moving Average indicators. The length of the Indicator is a clear sign that I am in for the short term as I try to predict every change in price.

So as for how long I intend to hold the currency, I intend to hold it for not more than 24 hours. How ever, my Take profit and Stop loss position have been placed, meaning at any time price reaches these levels my position will exit.

5. Do you recommend everyone to buy and the reasons for recommending/not recommending

Yes, I am going to strongly advice that everyone especially steemians buy and hold this currency for the following reasons

1. Great project concept. As we can see from the explanation above, the Tron Foundation is build on a great concept of rewarding content creators directly. This is a great prospect area for growth on future as more content creators will venture into the Blockchain platform increasing the use of the currency thereby increasing price.

2. Strategic acquisition. One of the main idea that I will recommend that traders buy abd keep Tron is because of the strategic acquisition plan that is being done by the CEO. The buying of Steemit which is very unique platform and BitTorrent which is a media sharing platform can be seen to have place the platform ahead of other platforms. Steemians are able to earn TRX by creating contents on Steemit. I believe these acquisition has increased the number of persons using TRX and coins associated to it.

3. Crypto predictions. There are crypto prediction from experts that estimate that the price of TRX will reach $1 by the end of the year.

4. Little or No transaction fee. The Tron network is able to process 2000 transaction per second at little or no fee. This serves as an attraction to new users thereby increasing the Demand for the coin in future.

However, it is advisable to carry out personal research and analysis before getting into any trade.

Conclusion

As can be seen from the explanation above, the Tron Foundation is truly an amazing platform with affiliate to other platforms like Steemit and BitTorrent it's biggest acquisition .

From the analysis using two separate technical tools on the same chart we can see that the two method used provided a buy option and that's why I opened a buy position.

Thank you for reading through.

Professor @shemul21 and @abdu.navi03

All screenshots used this post were taken by me on Tradingview and Coinmarketcap.com