Key Metric Places TRON Ahead of Bitcoin and Ethereum: Insights
TRON(TRX) has established itself as the leading blockchain network in terms of transaction value compared to its top competitors. Recent analysis suggests that TRON excels in efficiency while keeping costs low.
According to findings from CryptoQuant, TRON boasts the highest Transaction-to-Price Ratio (TPR) among blockchain networks. This ratio evaluates the total daily transaction value relative to the price of the network’s native digital currency.
TRON’s TPR surpasses that of major blockchain rivals, including Bitcoin (BTC), Ethereum (ETH), and Toncoin (TON).
This high transaction efficiency has notably benefited the TRON network, as evidenced by the substantial growth in daily transaction volume from 3.4 million to 10.47 million in the past year.
In the short term, daily transactions on the TRON network surged from 6.09 million on January 12th to 8.37 million on January 20th, indicating a strong response to recent market dynamics and showcasing TRON’s agility in seizing opportunities.
Following a period of impressive highs earlier in the year, TRON network fees experienced a slight decrease in 2024 as the market entered a bearish phase towards the end of December.
For instance, daily fees dropped below $6 million by the end of December as the bearish momentum of Q4 2024 waned.
On January 20th, TRON fees spiked to $11.49 million, mirroring the recent surge in transactions. Total Value Locked (TVL) outflows also stabilized over the past six weeks.
TRX Stabilizes: Will Bullish Sentiment Prevail?
After enduring a bearish trend since early December, TRX is now exhibiting signs of recovery. The price dipped by 51% from its peak in December 2024 to its lowest point of $0.21 on January 13th.
Since then, it has consolidated, with a slight uptick bringing it to $0.24 at the time of reporting.
The Relative Strength Index (RSI) has shifted, indicating a potential surge in bullish sentiment. Coinglass has observed increased inflows since mid-January, countering persistent outflows and alleviating selling pressure.
This uptick in demand coincides with a reduction in selling activity. TVL shows positive movements, a rise in volume, and a minor increase in Open Interest.
Could these developments signal an impending turnaround? Data on historical concentration reveals that whale holdings rose from 56.43 billion TRX on January 1st to 56.89 billion TRX on January 20th.
While this surge in whale holdings has not triggered a significant rally, it represents a bullish indicator for market participants.