Tron Crypto Hits New High Above $0.43 Amid Broader Altcoin Surge

2024-12-05 13:16:50 Primitive Reading

From decrypt by Vince Dioquino

Tron. Image: Shutterstock

TRON's TRX token has reached its highest record price, beating out a seven-year high amid an explosive rally that saw it reach just above $0.43.

Tron swelled by 81% on Tuesday, pushing its market capitalization beyond $35.1 billion, CoinGecko data shows.

It coincides with other cryptos, including XRP’s and Hedera’s (HBAR) push this week as investors speculate on shifting regulatory winds in the U.S.

By contrast, market-leading cryptos such as Bitcoin and Ethereum remain little changed over the same period.

Funds are moving out of Bitcoin and newer tokens, including meme coins, into older projects, many of which are fully circulated and have lost significant value since their peaks, Decrypt was told.

“Most older projects are fully circulated and have dropped over 90% from their peaks, allowing small amounts of capital to significantly boost prices and attract market liquidity,” Pat Zhang, head of WOO X Research, said.

The analyst pointed to several catalysts, including speculation around Tron’s potential inclusion in Grayscale's investment assets, which Zhang argues adds a layer of institutional legitimacy. In October, Grayscale revealed TRX as one of 35 tokens under consideration, with updates on potential inclusions scheduled quarterly.

Beyond the Grayscale speculation, TRX's rise has been fueled by Tron founder Justin Sun's high-profile actions, including a $30 million purchase of WLFI tokens tied to a project associated with the Trump family and becoming an advisor.

Additionally, Sun’s playful stunt involving the conceptual artwork "Comedian" sparked community engagement and indirectly boosted related tokens like BAN, Zhang said.

Launched in 2017 after a $70 million initial coin offering in September of that year, TRON is supported by Sun's Singapore-based Tron Foundation. It operates as a high-throughput blockchain platform designed to rival Ethereum.

At its core, TRON claims to reshape digital content distribution by eliminating intermediaries like YouTube and Facebook, creating direct connections between creators and consumers.

Tron meme coins

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