TRON’s Stablecoin Supply Reaches All-Time High, But TRX Price Struggles
TRON has reached a major milestone in the stablecoin market but TRX price seems to be struggling to gain momentum.
Recent data from DeFiLlama reveals that TRON has set a new record with $71.9 billion in stablecoins on its network as of May 7. This surge in stablecoin supply comes after Tether (USDT) minted an additional $1 billion USDT on TRON on May 6, making it the sixth billion-dollar mint on the network since April.
Aside from the stablecoin market success, TRON’s ecosystem as a whole is thriving. The decentralized exchange volume saw a 40% increase from $3.4 billion in March to $4.9 billion in April. The total value locked on TRON has also seen a slight recovery, rising from approximately $4.4 billion in March to over $5 billion currently. The network boasts more than 302 million accounts and has processed over 10 billion transactions, with daily USDT transfers amounting to $19 billion.
World Liberty Financial recently announced the launch of its USD1 stablecoin on TRON, backed by U.S. Treasuries and cash equivalents. This move not only attracts institutional participation but also diversifies the list of stablecoins available on the network.
Additional developments include P2P.org becoming a TRON Super Representative, enabling the staking provider to participate in block validation. Canary Capital’s filing for a TRX ETF in April, which includes staking, indicates growing interest from traditional finance in TRON.
Despite these positive developments, TRX’s price is facing pressure. Currently trading around $0.243, TRX struggles to break above the $0.25 resistance level after a 6.2% decline in the past day. Technical indicators present mixed signals, with moving averages and MACD signaling bearish pressure while momentum and Bull Bear Power suggest buying strength. The RSI at 49 indicates indecision.
If TRX breaks below support at $0.240, it may trend towards $0.235 or lower. Conversely, a clear break above $0.25 could pave the way for higher levels. Founder Justin Sun remains optimistic, predicting a new all-time high for TRX in Q2 citing the market’s maturity and its increasing correlation with Bitcoin.