Connect with us
Active Currencies 14448
Market Cap $2,699,477,630,586.00
Bitcoin Share 50.27%
24h Market Cap Change $2.43

Tron [TRX] boasts of metrics, but is there more than meets the eye?

2min Read
Tron [TRX] boasts of metrics, but is there more than meets the eye?

Share this article

  • Tron witnessed a spike in its total value locked (TVL), however, its overall activity declined.
  • Furthermore, NFT trades and dApp activity on the blockchain network also took a hit.

Over the last week, Tron witnessed quite a few improvements across multiple sectors. However, its active address metric didn’t post an impressive figure.

According to data provided by TRONSCAN, the active addresses on the Tron network declined. Over the past month, it fell from 3.3 million to 1.86 million (at press time). Undoubtedly, the decline in activity on Tron could harm the network in the long run.


Read Tron’s Price Prediction 2023-2024


Source: TRONSCAN

What about the dApp activity?

One of the reasons behind the decline in Tron‘s activity could be the decreasing interest in its dApps.

According to DappRadar, the overall activity of popular dApps on Tron such as SunSwap, Bridgers, and TransitSwap, went down.

The number of active wallets on SunSwap fell by 3.39% over the last week. For Bridgers and TransitSwap, the decline was 34% and 3.04% respectively.

This decline in activity also impacted SunSwaps transactions and volume. Over the last 24 hours, the number of transactions on SunSwap fell by 39% and its volume sunk by 63.73%.

Source: Dapp Radar

However, despite the decline in dApp activity, the overall TVL of Tron continued to increase. Over the last month, it escalated from 4.27 billion to 5.25 billion according to data provided by DefiLlama.

On the other hand, over the last week, new accounts on the Tron network were also added. However, despite this, the stakers continued to lose interest in Tron.

In the past seven days, the number of stakers on the network declined by 4.57%. This brought the number of stakers on the network down to 342,544.

Source: Staking Rewards

TRX takes a hit

Another indicator of declining interest in the Tron network was a fall in NFT trades. According to Santiment’s data, the number of NFT trades on the network fell considerably.

All these events impacted Tron’s volume too which fell materially over the past month.


How much are 1,10,100 TRX worth today?


Despite these factors, whales continued to buy TRX. This was showcased by the increasing percentage of large addresses holding the coin.

Source: Santiment

In conclusion, even though Tron managed to show growth in terms of TVL and new accounts, the declining activity could cause problems for the network in the long term.

Improvements on the NFT and dApp front would be required to overcome the current challenges being faced by the network.

Share

Saman Waris works as a News Editor at AMBCrypto. She has always been fascinated by how the tides of finance and technology shape communities across demographics. Cryptocurrencies are of particular interest to Saman, with much of her writing centered around understanding how ideas like Momentum and Greater Fool theories apply to altcoins, specifically, memecoins. A graduate in history, Saman worked the sports beat before diving into crypto. Prior to joining AMBCrypto 2 years ago, Saman was a News Editor at Sportskeeda. This was preceded by her stint as Editor-in-Chief at EssentiallySports.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.

Thank you for subscribing to Unhashed.