Tron (TRX) supply fell 2.41 billion ($381.2 million) during the course of the last year, from 88.97 billion to 86.56 billion. The drop in supply comes as a shacky and choppy crypto market has led to a dent in investor appetite.
During the previous year, TRX has experienced 2.93% deflation. This deflationary trend comes despite Tron’s revenue seeing skyrocketing growth.
The supply cut data comes in the backdrop of a volatile crypto market, which even has affected TRX price. At the press time, the coin was trading down 0.2% at $0.1593.
TRON Supply Takes Hit Despite Good Revenue
Over the last two years, there has been a remarkable increase in revenue for the Tron blockchain platform. The founder of Tron, Justin Sun, had declared that since September 2022, the protocol’s revenue has increased by around 1000%.
Revenues rose from $24 million to an astounding $220 million, however, it seems like there are more coins being lost than being created, resulting in fewer coins in circulation.
However, despite this, TRX has still established itself as a major blockchain in the crypto realm.
Recently, TRON’s network activity has also peaked showcasing that the network keeps expanding and cementing its position.
In August, there were almost 230 million transactions on the TRON network, which is 7.8% more than in July. The steady rise in transaction volume is a sign of the growing popularity and user engagement of the platform. The astounding growth shows that TRON can remain competitive despite the supply cut or a volatile crypto market.
Can TRX Price Recover in Future?
Tron price at present has seen volatile trading, being in tandem with the global market. If this trajectory continues then TRX prices might drop by 15.48% to $ 0.133877 in the coming month.
But, on the other hand, the coin’s technical indicators show that the current mood is bullish, and the Fear & Greed Index is currently reading 32 (Fear).
If this bullish attitude continues, TRX might regain its momentum to have an upward trajectory. Over the previous 30 days, TRON had 17/30 (57%) green days and 1.98% price volatility.