Coinspeaker Tron Network Registers 52% Rise in Active Addresses YTD, TRX Price Down 2%
The mainstream adoption of Web3 projects and digital assets has helped top-tier layer one (L1) blockchains – led by Ethereum (ETH), Tron (TRX), and Solana (SOL), among others – attract millions of users globally. According to market data provided by IntoTheBlock, the Tron network, a proof-of-stake (PoS) delegated blockchain, continues to lead in daily active addresses.
Specifically, the number of daily active addresses on the Tron network increased from 1.59 million in January to about 2.42 million in July, representing a 52 percent change. On the other hand, the Bitcoin and Ethereum networks averaged about 691k and 631k respectively in daily active addresses in July.
The number of active @trondao addresses increased by 52% since the start of the year.
Currently averaging over 2.42 million daily, compared to 1.59 million on January 1st pic.twitter.com/qwgmWR6RLN
— IntoTheBlock (@intotheblock) August 1, 2024
Tron Network Dominates Stablecoins Market
The notable rise in Tron’s daily active addresses can be attributed to the significant spike in its stablecoin market. In July, the market capitalization of stablecoins on the Tron network gained by around 2 percent to an all-time high of about $59.2 billion.
Despite the lack of support from Circle’s USDC due to geopolitical concerns, the Tron network has registered a significant growth in the overall amount of Tether USDT.
According to transparency data provided by stablecoins issuer Tether, the Tron network has a total of more than $60 billion in USDT. On the other hand, the Ethereum network has about $50.7 billion in Tether USDT.
The stablecoins market has grown over the years fueled by the mainstream adoption led by institutional investors and retail traders. As of this writing, the total stablecoins market cap is about $164 billion, and a daily average trading volume of about $69 billion.
Rising Web3 Ecosystem
The Tron network has expressed significant growth in its web3 ecosystem, which currently has a total value locked (TVL) of about $8.14 billion. Remarkably, the Tron network has registered exponential growth in its TVL since 2020 despite the web3 devastation caused by the 2022 crypto bear market.
The low fees, secure, and fast transactions offered by the Tron network have helped it gain more users over the years. Some of the notable web3 projects on the Tron network include JustLend with over $6 billion in TVL, SUN DEX, and stUSDT RWA, among others.
In a bid to ensure sustainable growth, the Tron network has also enabled seamless interoperability with other blockchains. For instance, JustMoney DEX, with a TVL of about half a million dollars, is available on five blockchains.
Impact on TRX
Amid the ongoing crypto correction triggered by the Bitcoin price dump below $65k, Tron’s TRX has dropped around 5 percent in the past week to trade at about $0.129 on Thursday. The large-cap altcoin, with about $11 billion in fully diluted valuation, has faced significant resistance around 14 cents and could be forming a reversal pattern.
In the weekly time frame, TRX price has formed a double top coupled with a bearish divergence of the Relative Strength Index (RSI).
In case of a continued bearish outlook ahead, TRX price will find a solid support level of around 11 cents.
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Tron Network Registers 52% Rise in Active Addresses YTD, TRX Price Down 2%
