TRON tops the chart for most active users last week
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TRON has overshadowed Ethereum and many other cryptocurrencies regarding active users. Still, its price has been consolidating within a range in the last few months, whereas Bitcoin and Ethereum prices have risen, especially after the US banking crisis.
According to recent data, the daily active users on the TRON network cross 1.7 million, which is better than Binance Chain, Polygon, and Ethereum. Moreover, across the many other protocols, TRON has achieved a Total Value Locked (TVL) of $5.5 billion as a decentralized finance chain.
#CMCReport: Daily Active Addresses by Chain ✨#Tron #BNBChain & #Bitcoin continues to lead the chart with the most active users this past week. 💪 pic.twitter.com/BvIJ90vv8e
— CoinMarketCap (@CoinMarketCap) April 26, 2023
The daily active users cross 7.7 million, far more than Ethereum’s 1 million. It suggests TRON has gained the users’ attention with its exceptional performance as the DeFi network. However, the demand has not been reflected in the asset price.
Experts believe a lack of real-world use cases may discourage investors from holding TRX for the long term because the native coin TRX is only used on the TRON network and is not a suitable asset for long-term investment. On the other hand, Ethereum can be used as a payment system with better real-world use cases. Crypto enthusiasts prefer Ethereum for long-term investment as well as trading. That is why the user engagement of TRON is not reflected in the price action. And based on our TRON prediction, it might consolidate in the upcoming months.
At the time of writing, the TRX price is trading around $0.066, consolidating within a range of $0.065 and $0.067. The daily chart has formed a trend line of higher lows and a resistance of $0.067. If it breaks the resistance, TRON can be bullish for the short term. However, Bollinger Bands lack volatility, and its RSI is over 50, which does not suggest a strong uptrend momentum despite high user engagement on the network.
Even on the weekly price action, TRON has been consolidating within a range around the baseline of the Bollinger Bands, and RSI is around 50, but you can find a strong resistance around $0.07. If it breaks the $0.07, it could be long-term bullish.