Tron [TRX] Touches an ATH! Will It Be Able to Flip Avalanche [AVAX] and Claim the 10th Spot?

Tron [TRX] has once again made it to the headlines as it recently reached an all-time high(ATH) as robust trading activity supported the development.

Tron [TRX] price reached new heights last week after rising by over 28%. In the last 24 hours alone, TRX price surged by over 16%, reaching a new all-time high (ATH) price level of over $0.234.

With this new ATH, TRX inched closer to the top 10 cryptocurrency list. Currently, only Avalanche [AVAX] stood in TRX’s way with a market capitalization difference of around $1 billion. If TRX were to continue its upward movement, it might surpass AVAX to become the 10th largest cryptocurrency by market cap.

To assess the likelihood of TRX continuing its bull run, AMBCrypto analyzed the token’s on-chain metrics. According to Santiment’s data, TRX’s trading volume increased significantly alongside its price. A rise in volume during a bull run further strengthens the upward momentum.

The recent price uptick also positively impacted the token’s social metrics. For instance, its social dominance remained high, reflecting TRX’s popularity in the crypto space. However, despite reaching an ATH, TRX’s Weighted Sentiment dropped soon after—indicating rising bearish momentum.

Nonetheless, the token’s derivatives metrics looked optimistic. Coinglass’ data revealed that Tron’s funding rate increased. A rising Funding Rate in crypto indicates that the market is optimistic and that traders expect prices to rise.

This is because traders who believe prices will increase are willing to pay extra to keep their long positions.

Source: Glassnode

The technical indicator On Balance Volume (OBV) registered an uptick — indicating that the trading volume on days with positive price movements was greater than the volume on days with negative price movements.

TRX’s MACD also displayed a clear bullish advantage, suggesting a continued price rise. However, Tron’s Relative Strength Index (RSI) entered the overbought territory.

This might motivate investors to sell and, in turn, push TRX’s price down. 

Source: TradingView

Interestingly, as TRX reached new highs, its network activity also saw an uptick. Artemis’ data showed a sharp increase in TRX’s daily active addresses.

A similar increasing trend was also noted on the daily transactions graph. This meant that the new ATH was achieved with the backing of rising network activity. 

Source: Artemis