TRON (TRX) is currently trading at $0.162, positioned just below its peak from the 2021 bull market. This recent surge signals a strong potential
As the price of TRX continues to rise, reaching levels not seen since the 2021 bull market, many traders and investors are wondering what the future holds for the popular cryptocurrency. While past rallies have been fueled by speculation and hype, this recent surge appears to be driven by a more sustainable factor: the increasing adoption and utilization of the TRON network.
With gradually rising daily trading volumes now surpassing $305 million, TRON is showcasing a positive trend that bodes well for its long-term viability. This sustained buying pressure is evident in the technical analysis of TRX, with key price movements and technical indicators indicating a bullish outlook.
According to CoinMarketCap, TRX is showing strong momentum, with a 0.38% increase from its maximum price over the last 30 days and gains of 10.53% and 6.18% from its respective minimum prices over the last 30 and 7 days.
The TRX/USD chart on TradingView highlights TRON testing resistance at $0.169. A successful breakout above this critical level could set the stage for a test of $0.175 and potentially $0.180 in the short term. Both the Parabolic SAR and MACD indicators point to continued bullish momentum, with prices holding above key moving averages.
However, if TRX fails to break the $0.169 barrier, it could retrace toward the immediate support at $0.155, with additional support at $0.150 and $0.140, ensuring that the overall bullish structure remains intact.
TRON has faced skepticism regarding the authenticity of its network traffic and the presence of fraudulent applications. Despite these claims, TRON has managed to build its own Web3 gaming ecosystem and DeFi projects, amassing a total value locked (TVL) of $7.40 billion. Notably, Tron’s own reports suggest a significantly higher TVL of over $16 billion, which would exceed the asset’s market cap.
The network has also become a major player in USDT transactions, boasting a supply of $61.79 billion, which accounts for approximately 50% of the total stablecoin supply. Additionally, more than 90% of USDT wallets were established on the TRON network.
This strong presence in the stablecoin market and the growing adoption of TRON-based DApps have contributed to the increasing demand for TRX, ultimately driving its price higher.
As the price of TRX continues to rise, it is approaching the levels attained during the 2017 rally following the project’s initial token sale. This rally was largely driven by speculation and hype, leading to unsustainable price movements and, ultimately, a bear market.
However, with the increasing adoption and utilization of the TRON network, this recent rally appears to be fueled by a more sustainable factor. If this trend continues, TRX could potentially revisit the highs of 2017 and set new records in the coming months.
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