Tron [TRX] has once again grabbed attention by reaching a new all-time high (ATH) with strong trading activity supporting its surge.
Following this latest ATH, TRX is edging closer to breaking into the top 10 list. Will TRX successfully surpass Avalanche [AVAX] to secure the 10th spot, or will it experience a temporary setback first?
Tron Reaches New ATH!
Tron’s price surged over 28% last week driven by bullish momentum. Within the last 24 hours, TRX rose by more than 16%, hitting a record high of above $0.234.
Currently, there is a market capitalization variance of approximately $1 billion between TRX and AVAX. If TRX maintains its upward trajectory, it could potentially overtake AVAX and become the 10th largest cryptocurrency by market capitalization.
Is TRX Set for Continued Growth?
To evaluate the possibility of TRX sustaining its uptrend, CryptoCrypto conducted an analysis of the token’s on-chain metrics.
According to data from Santiment, TRX’s trading volume has seen a significant rise alongside its price surge. An increase in volume during an uptrend further reinforces the bullish momentum.
The recent price surge has also positively impacted TRX’s social metrics, with its social dominance remaining robust, indicating TRX’s popularity in the cryptocurrency sphere.
Despite hitting an ATH, TRX’s Weighted Sentiment took a slight dip shortly after, signaling a growing bearish sentiment.
Nevertheless, the token’s derivatives metrics appear optimistic. Data from Coinglass revealed an uptick in Tron’s funding rate. A rising Funding Rate in the crypto market suggests optimism and an expectation of rising prices among traders.
This is because traders anticipating price increases are willing to pay a premium to maintain their long positions.
The technical indicator On Balance Volume (OBV) showed an increase, indicating that trading volume on days with positive price movements exceeded volume on days with negative price actions.
TRX’s MACD also demonstrated a clear bullish trend, implying a potential continuation of the price upsurge. However, Tron’s Relative Strength Index (RSI) entered the overbought zone.
This could prompt investors to sell off, thereby putting downward pressure on TRX’s price.
Interestingly, as TRX achieved new highs, its network activity also witnessed a rise. Data from Artemis displayed a sharp uptick in TRX’s daily active addresses.
A similar upward trend was observed in the daily transactions chart, indicating that the new ATH was supported by a growing network activity.