TRON (TRX) has experienced significant bullish momentum recently, breaking past a five-month range high of $0.274, although this rally was briefly undone by Bitcoin's (BTC) downward movement. Despite market volatility, technical indicators like the Chaikin Money Flow (CMF) and Sharpe ratio suggest that TRX is not overextended and could be poised for further price appreciation.
TRX's price has been consolidating near $0.275 following a 38% decline from its March peak, with traders closely monitoring for a decisive breakout. On-chain data reveals increased adoption, especially in the stablecoin sector, where TRON processed 55% of over $94 billion stablecoin volume from January 2023 to February 2025, outpacing Ethereum, BNB Chain, and Polygon.
Recently, institutional momentum further boosted TRX with the launch of the USD1 stablecoin by World Liberty Financial (WLF) on the TRON network. Additional support comes from Privy extending its wallet infrastructure support to over 50 million users.
Technical analysis highlights an inverse head-and-shoulders pattern indicating a potential end to the long-term downtrend, with targets set between $0.28 and $0.30, possibly extending to $0.35 if buying pressure continues. TRX's growth is also driven by rising daily active addresses and expanding demand from European countries.
The continuation of TRX's bullish trajectory will depend on sustained network activity, stablecoin market expansion, and macroeconomic factors. A confirmed daily close above the $0.2995 resistance level could trigger the next upward leg, while failure might lead to further consolidation.