TRON (TRX) Faces Decline After October Surge

The Essentials at a Glance

TRON (TRX) experienced a significant increase in network activity in October 2024 but was unable to maintain this trend in November. The number of active addresses and transactions on the blockchain declined, indicating a decrease in usage. At the same time, the TRX price fell below a critical support line, which could suggest further price declines.

TRON’s Success in October

In October 2024, the TRON blockchain reached a peak in its activity. According to an analysis by Lookonchain, the total number of transactions increased by 8.15% compared to the previous month, reaching 238.6 million. On October 24, a yearly high of 10.46 million transactions was recorded. The number of daily active addresses also remained stable, indicating continued usage of the blockchain.

Additionally, TRON saw growth in generated fees and revenue in October. This development points to increasing adoption of the blockchain. However, the DeFi (Decentralized Finance) sector fell short of expectations, as the Total Value Locked (TVL) – the total value of assets locked in DeFi protocols – significantly decreased.

Decline in November

As November began, the picture changed. The number of active addresses on the TRON blockchain dropped from 2 million to 1.7 million. This decline also led to a decrease in transactions, indicating lower usage of the blockchain. Similarly, the fees and revenue generated by the blockchain fell in November, underscoring the overall downward trend.

TRX Price Under Pressure

The price of TRX, TRON’s native cryptocurrency, also began to consolidate in November. Over the past seven days, the price moved only slightly, standing at USD 0.1623 at the time of analysis. However, a look at data from Coinglass showed that the ratio of long to short positions had increased, indicating a possible bullish trend.

Despite these hopeful signals, TRX remains under pressure. The price fell below a key support line as well as the 20-day SMA (Simple Moving Average), suggesting a further price decline toward USD 0.15.

Our Assessment

TRON achieved notable success in October 2024, particularly in terms of transaction numbers and blockchain usage. However, the decline in November shows that the network is struggling to maintain this growth. The price of TRX remains under pressure, and it remains to be seen whether market sentiment will improve in the coming weeks. Investors are advised to closely monitor the development of long and short positions as well as technical indicators.