The Tron network has attracted a staggering $80 billion worth of stablecoins, yet the price of TRX remains relatively stagnant. While some market participants see this as a bullish signal, declining on-chain activity and other risk factors suggest that the token’s growth may face headwinds.
🔹 $80 Billion Milestone in Stablecoin Inflows
Over the past 24 hours, Tron recorded a new milestone: the total value of stablecoins on its blockchain surpassed $80 billion. This achievement pushed Tron ahead of Ethereum, making it the leading blockchain for stablecoin activity.
The influx is largely attributed to Tron’s low fees and fast settlement times. In theory, TRX — the native token used to settle transactions — stands to benefit from this surge. Still, the token’s price has only seen a modest 2.1% gain over the past day.
🔹 Spot and DeFi Traders Accumulating TRX, But…
Investors in both spot and DeFi markets have resumed TRX accumulation. On June 23, spot traders who sold off $16 million worth of TRX reversed their stance and began buying again. Data from CoinGlass shows a net inflow of $1.75 million in TRX, with funds moving into private wallets.
Similarly, DeFi investors increased their exposure by locking more TRX in long-term positions. At the time of writing, total value locked (TVL) on Tron-based DeFi protocols reached $4.359 billion.
🔹 On-Chain Activity Shows Red Flags
Despite the capital inflows, network engagement is trending downward. The number of daily transactions dropped to 7.6 million — a notable decline compared to previous performance. Concurrently, the number of active addresses fell to 2.2 million.
This weakening engagement may point to limited utility or declining user interest, casting doubt on the sustainability of TRX’s growth.
🔹 Derivatives Market Signals Bearish Sentiment
While accumulation is evident in spot and DeFi markets, derivatives traders are leaning bearish. The open interest weighted funding rate dropped into negative territory (-0.0007%), indicating that short sellers are paying long positions — a sign of negative expectations.
If this trend continues, it could fuel more short positions and create downward pressure, counteracting bullish sentiment in other market segments.
Conclusion:
Despite a historic inflow of stablecoins, Tron faces a mixed outlook. Waning on-chain activity and bearish sentiment in derivatives suggest that TRX's price rally is far from guaranteed. Investors should remain cautious and watch for volatility ahead.
#Tron , #TRX , #Stablecoins , #CryptoMarket , #defi
Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“
