As the US celebrates Independence Day today, we thought we'd take a look at a crypto token that recently announced its own Independence Day of sorts: TRX.
While most crypto tokens have continued to make headlines related to their prices in a sluggish market, Tron’s TRX has been in the news for other reasons. Namely, their ambitious undertaking to build ‘a better Ethereum’ hit a key milestone on June 25th when they generated the first block of their long-anticipated MainNet and officially moved off the Ethereum blockchain.
Technical progress and newly declared independence from Ethereum aside, we have not seen much positive movement on TRX’s price – indicating an independent TRON may be just as susceptible to the general market trends as most altcoins have been. However with a market cap of $2.7B and a leader like Justin Sun at the helm, you can be sure there's more to the story.
TRX Growth and Adoption
After one of the largest ICO’s of all time in 2017 through launching their TestNet for the public in March of 2018, TRON has continued to push forward on many roadmap objectives ahead of schedule. Further, Sun seems to be gaining momentum as a leader in the crypto-verse with his ambitious plans of a fully decentralized internet. For him, it seems the MainNet launch is just the beginning of TRON’s plans to ultimately overtake Ethereum as the more advanced blockchain platform in the industry.
One of the next steps of Sun’s larger plan involves the selection of Super Representatives, which he recently announced will be selected by TRX holders themselves. These Super Representatives will be responsible for validating blocks while approving transactions, making the MainNet a functional ecosystem that can support massive traffic inflows, while also designing a decentralized blockchain system able to perform various operations including smart contracts.
Separately Sun recently purchased BitTorrent, a once ubiquitous peer-to-peer file sharing company that still claims 170M users. While there are some rumors that Sun is planning on using BitTorrent’s peer-to-peer nature for setting up a private mining pool for TRX, BitTorrent publicly stated the company won’t be changing their business model any time soon.
You may have seen TRON in the headlines for other reasons too. With their 85M global visitors, Pornhub recently introduced TRX as a payment option, which many expected to have a positive impact on price. It may be too early to tell but a quick look at PH’s addition of Verge in April (and the minimal impact on its price) indicates investors may want to be a little less optimistic.
TRX Price Analysis
Although many investors seem confident TRX will once again reach its ATH, it could be a long road ahead. While as notable an accomplishment as gaining independence from Ethereum was, TRX has still been following the generally sluggish market trends seen the first half of 2018. Further, it recently slipped from the top 10 market cap list, being surpassed once again by IOTA.
After a recent 15% run up that saw its price quickly double while defying the overall market trends, it has retrieved in full to its previous territory. Potentially due to rumors of an Alibaba partnership which has since been denied, it's gone on to lose around 12% against the USD the past two weeks alone. But from a purely technical perspective, recent patterns indicate a reason to be hopeful. Sitting between $0.034 - $0.039 the last week with an inverse head and shoulders pattern forming, it seems to have broken through the neckline of resistance at $0.040 yesterday, July 3rd, per the chart below.
With an ambitious leader like Sun leading the way and the milestones reached to date, TRX is at the very least a strong candidate to break out of the current market trends in the near future. And with his announcement of the Tron Virtual Machine (TVM) to be released on July 30th along with hinting at another upcoming project, it could be that TRON’s CEO has a couple of aces up his sleeves.