Tron price has retreated over the past eight days as recent momentum in the ecosystem began to fade.
Tron (TRX) was trading at $0.1565 on Monday, Sep. 2, down by over 7% from its highest point this year. This retreat has brought its market cap to over $13.5 billion.
Tron’s key metrics are falling
Still, Tron has been one of the best-performing major coins in recent weeks, having jumped by over 44% from its lowest level in August. It also reached a record high of $0.1690.
The token performed well following several major events during the month. The most notable was the launch of SunPump, the network’s meme coin generator. In less than three weeks, thousands of memes have been created, generating almost $50 million in fees. All meme coins in the ecosystem have a market cap of over $493 million.
Recently, however, there are signs that the Tron ecosystem is losing momentum. For example, Sundog (SUNDOG), the biggest meme coin in the ecosystem, has dropped by over 24% from its highest level in August.
Other tokens like Suncat, SunWukong, FoFar, and Dragon Sun have also dropped by over 50% in the last seven days.
Additional data shows that Tron’s total value locked in its decentralized exchange network has dropped by 8% in the past seven days to over $8.1 billion. The volume of tokens traded in Tron’s decentralized exchanges has fallen by over 21% in the last seven days.
Meanwhile, Tron’s open interest in the futures market has also continued falling. It moved to over $141 million on Sep. 2, down from August’s high of $234 million.
Still, Tron is one of the most popular blockchains in the industry. Its network has brought in over $1.1 billion in revenues this year, making it the second most profitable blockchains in the industry. It also has over $59 billion in stablecoins and 2.24 million active addresses.
Tron price rally has eased
Tron has been in an uptrend since bottoming in 2021, making it less correlated with Bitcoin (BTC) compared to other coins. It jumped to a record high of $0.1690 last month and has now retreated to $0.155.
Tron remains above the 50-day and 200-day Exponential Moving Averages (EMA) and the key resistance point at $0.1451, its highest swing in February.
Therefore, there is a likelihood that the token will drop to the psychological point at $0.15 and then resume its bullish trend. More upside will be confirmed if it rises above the year-to-date high of $0.1690.
Credit: Source link
