TRX Price Volatile Amid Bitcoin Pullback, TRON Network Activity Surges

Tron, a blockchain platform, has recently seen a surge in network activity, drawing renewed attention to its native cryptocurrency, TRX. The platform welcomed a USD1 stablecoin from World Liberty Financial Inc., which has contributed to the increased interest in TRX. Data from DeFiLlama indicates that Tron’s Total Value Locked (TVL) has surpassed $5 billion, reflecting robust decentralized finance (DeFi) activity. On June 6, the network recorded 4.5 million returning addresses, demonstrating consistent user engagement with Tron-based applications. This surge in TVL, combined with the launch of a high-profile stablecoin and growing USDT usage, initially supported a positive outlook for TRX price action.

However, a recent pullback in Bitcoin, triggered by tariff threats, has led to a broad decline in altcoins, including TRX. Despite this short-term dip, TRX’s Sharpe Ratio remains strong, suggesting potential room for future gains. In the near term, volatility may persist, but the long-term outlook for TRX price remains optimistic. The recent launch of a USD1 stablecoin on the TRON network by World Liberty Financial Inc. underscores the growing role of stablecoins in crypto adoption. Traditional financial institutions are also becoming more involved in the crypto space, with reports indicating that Bank of America is speeding up the development of its own U.S. dollar-backed stablecoin.

TRON has gained attention as a preferred platform for stablecoin projects. According to a recent report, TRON handled nearly $695 billion in USDT transactions during May 2025. Of this, $411 billion came from whale transactions, those over $1 million in value. This marks a record high for network activity and has sparked greater interest in TRX from both institutions and investors. Whales were responsible for about 59% of all USDT volume on TRON last month, showing strong involvement from large players in the ecosystem. TRON also now holds the largest amount of stablecoins compared to any other blockchain. Its TRC-20 version of USDT alone accounts for $75.7 billion in circulation. In addition, large mints of $1 billion or more are becoming frequent. In the first half of 2025 alone, there have already been 17 separate USDT mints exceeding $1 billion each on TRON. This growth is also visible in network usage. TRON has now processed over 10.5 billion total transactions, showing steady on-chain demand and increasing real-world utility.

A separate analysis suggests that the Adjusted Sharpe Ratio for TRX currently stands at 8.3, while the TRX price trades around $0.29. Not long ago, the ratio had fallen below 1, signaling undervaluation. This suggests TRX remains in a relatively "cheap zone" and is far from overheating. Looking ahead, since the Sharpe Ratio is still well below its historical highs, there's substantial room for upside. This positions TRX as a strong candidate for a potential bullish rally in 2025. From a technical perspective, TRX crypto has a pattern of launching sharp upward moves after consolidating within ascending parallel channels, as seen in Q4 2024. Interestingly, a similar channel structure has now formed in Q2 2025, increasing the probability of another breakout. If the pattern holds and bullish momentum builds, reaching $0.44 by the end of June seems likely. Should the rally strengthen further, hitting the $1 mark, while ambitious, can't be ruled out entirely.

However, caution is also warranted. TRX is currently testing the lower boundary of its rising channel. A breakdown from this level could lead to a short-term decline to $0.21. In a more extended bearish scenario, the price may test the long-term support at $0.14, a level expected to hold strong under pressure. In summary, TRX price sits at a critical juncture. A breakout could ignite significant gains, while a breakdown may open the door to short-term losses. The recent developments in the TRON network, including the launch of a new stablecoin and the surge in network activity, have positioned TRX for potential growth. However, investors should remain cautious of short-term volatility and potential market corrections. The long-term outlook for TRX remains optimistic, with the potential for significant gains if the current trends continue.