The native coin of the Tron network, TRX, is one of the few cryptocurrencies in the current altcoin market to experience a price surge. As of this writing, TRX has gained 0.2% on a daily basis, up 6.1% on a monthly period.
A recent development might have something to do with this as it concerned the TRX environment. According to a tweet, the ecosystem has reportedly surpassed Binance’s BSC to become the number 2 cryptocurrency in terms of total value locked.
Despite this progress, the TRX price was rejected at $0.055175, causing a drop to its current market price of $0.053740.
The total value locked in Tron has recently surpassed $4.3 billion, outperforming BSC by approximately $260 million.
#TRON beats #BSC Become the second largest Total Value Locked on-chain! @justinsuntron seems to be one of the only people doing well considering the fall of all the heroes of 2021 #TRX #TVL pic.twitter.com/L1I1L50yHE
— Intuit Φ (@Intuit_Trading) December 17, 2022
Tron (TRX) price is rejected
DeFiLlama’s statistics reveal that TRX has fallen to third place since the tweet went public. While BSC has increased its TVL by 30% over the past two days, Tron’s TVL has decreased by 0.68% since December 17, data shows.
This was reflected in the price, as TRX was rejected at $0.055175 on December 18. Also, Tron’s USDD stablecoin has of late lost its peg.
Fears arose among TRX proponents that the network could fail in the same tragic way that Terra did as a result.
Meanwhile, the coin’s developers and founder Justin Sun developed TCNH, an offshore Chinese yuan-pegged stablecoin, to compensate. He used the Chinese yuan offshore to circumvent cryptocurrency restrictions.
However, if the Chinese government ever takes note of this growth, the absolutely top-down nation could make adjustments. However, the crypto may be safe from the Chinese government, because Justin Sun is playing it safe by keeping the Chinese currency.
Pegged offshore Chinese yuan #TCNH now accessible to all #TRONICS! #TRON is excited to collaborate with @tudio to continue decentralizing finances! 🚀
Read below for @decryptmedia ⬇️ https://t.co/7D8noTSBIk
— TRON DAO (@trondao) December 17, 2022
Total TRX Market Cap at $4.9 Billion | Chart: TradingView.com
What is the impact on TRX?
Meanwhile, TRX is somewhat correlated with ETH. The token itself has been moving higher in recent weeks, making it one of the outliers in the altcoin market that didn’t depreciate when ETH was struggling.
However, the token may be destined for subsequent hammering. On December 16, it fell a staggering 6.5 percent. The US Federal Reserve raised interest rates on this date.
With more anticipated interest rate hikes, the next few days or weeks could be more difficult.
However, if this momentum continues, the Tron ecosystem will bear additional pain, as is already the case.
Investors and traders can short TRX, as downward price movements are more likely than bullish price increases. However, TNCH’s debut will certainly appeal to Chinese cryptocurrency enthusiasts who were previously prohibited by regulation.
This post Tron gets second place on TVL
was published first on https://newsbtc.com/all/tron-snags-2nd-place-in-tvl/
