TRON Volume Surges to 8 Month High While TRX Price Sinks 22% in 5 Hours
The TRON network’s TRX token lost 22% of its value in a frantic, five-hour selloff on Thursday morning. After holding strong against the market dip which wiped $11 billion from the global market cap, TRON eventually gave way to broader market forces.
As the value of TRX fell, more money entered the coin’s trade volume than has been seen in the last eight months. The current $822 million daily volume was last recorded in May of 2018, during a month in which the coin price surged as high as $0.09.
When the dip struck on Thursday, TRX was still flying high from the previous day’s 24% surge. That took the coin price from the $0.027 range, up to a peak of $0.034225 by 05:30 UTC on Thursday morning.
An hour later, Bitcoin sunk 5% in sixty minutes, triggering the chain reaction which saw multiple altcoins lose a quarter of their value in a flash. As you can see, TRON briefly rallied back up to the $0.031 range after the drop, but it wasn’t to last.
From peak to trough, TRX fell 22% in just over five hours, and sunk to a coin price of $0.026475. Along with Holochain (HOT), Pundi X (NPXS) and Stratis (STRAT), that leaves TRON as one of the worst hit by January 10th’s carnage.
TRX Volume Returns to Q2 2018
Ever since November’s market wide dip, average global trade volume has more than doubled. Indeed, TRX trade volume already quadrupled in January alone, and continued to climb during the selloff to reach a peak of $822 million.
The market hasn’t seen that kind of TRX liquidity since May of last year, when the coin price was winding down from a 100% increase in April, and a monthly high up in the $0.09 range. Binance hogs the highest share of the market via BTC and USDT pairs, but the most concentrated market remains TRX/KRW on the Upbit exchange.
TRON’s founder and CEO, Justin Sun was recently relishing TRX’s rapid rise through the market cap rankings. Just over six hours ago TRON surged past Tether (USDT) and Bitcoin SV (BSV), and as you can see from this reworked Shining meme he retweeted, Sun also had Litecoin (LTC), Stellar (XLM) and EOS (EOS) in his sightlines.
Just a Blip, or More to Come?
Now those market cap rankings look very different and TRON has slipped back into 9th spot. However, it should be noted that given TRON’s 24% surge the day before, the coin is only down a few percent in the previous twenty-four hour trading period.
Despite this 20% fall, TRX is still up 117% for the previous month, and close to 40% for the week, with volume still on the rise.
Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
Featured image courtesy of Shutterstock.