Tron (TRX) faces potential short-term price pressure as investors who held since the 2020-2021 bull market lock in substantial profits. Glassnode data shows $1.4B in realized gains on August 5 alone – the second-largest daily profit event of 2025 – primarily driven by holders with 3-5 year positions. This profit-taking wave has persisted for five consecutive days, averaging $1B daily.
The surge follows TRX's 110% year-to-date rally, climbing from $0.20 in February to approach $0.42. Key catalysts include Tron's burn mechanism, which has destroyed 40B TRX since 2023 (166M in August), and its dominance in stablecoin transactions. Tron hosts $81B of USDT – a $20B increase since January – and processes 60% of all USDT transfers, generating significant fee revenue.
Technical indicators suggest a correction may be imminent: the MACD shows weakening bullish momentum, though the Stochastic RSI (near 40) hints at potential seller exhaustion. Despite this, fundamentals remain strong with growing corporate adoption, including SRM Entertainment rebranding as Tron Inc. after adding TRX to its treasury.