TRX Price Targets 85% Surge as Tron Meme Coins Bounce Back

Tron (TRX) is currently in a bear market, with its price falling by 47% from its highest point in 2024, now sitting at $0.2395 and a market capitalization of $20 billion. This decline aligns with the broader weakness seen across most altcoins in the market this year. Despite this downturn, there are three key factors that could push the price of Tron higher in the near term.

The first major catalyst for a potential TRX rebound is the recovery of the meme coin ecosystem on the Tron blockchain. Sundog, the largest meme coin within the Tron ecosystem, recently surged 77% in just 24 hours, pushing its market capitalization to $69 million. Along with Sundog, other meme coins like Tron Bull Coin (up 38%) and Suncat (up 24%) have seen strong performances. These rallies have contributed to a combined market cap increase of 57% within the last 24 hours, reaching nearly $90 million. Additionally, cumulative fees in the SunPump ecosystem have also risen to $5.65 million. As these meme coins gain traction and their market caps increase, it could signal the start of a broader positive sentiment surrounding the Tron ecosystem, boosting the price of TRX itself.

The second factor is the continued strength of the Tron ecosystem, which has made significant strides in becoming a leading platform for Tether (USDT) transactions. Tron’s lower fees compared to Ethereum have made it the preferred blockchain for Tether transfers, with data from Tronscan showing that the network processed $65 billion in Tether transactions on just one day. Moreover, Tron regularly handles daily transaction volumes exceeding $100 billion. This growth in transaction volume has contributed to Tron’s success and has positioned it as one of the most profitable blockchains in the cryptocurrency space. With more than $441 million in fees generated this year and a total of $2.4 billion in fees over the past 12 months, Tron has outpaced Ethereum in terms of profitability. The sustained growth in transactions and network activity strengthens Tron’s position and offers long-term potential for the TRX price.

The third factor supporting the potential for a price rebound is Tron’s technical analysis, which suggests that TRX may soon see a bullish reversal. Despite its recent decline, TRX has managed to stay above its 200-day moving average, which is a strong indicator that the recent pullback could be part of a mean reversion. A mean reversion is when an asset moves back toward its average price levels after an overextended rally or decline. Furthermore, Tron is forming a “falling wedge” chart pattern, a well-known bullish reversal signal. A falling wedge occurs when two declining trendlines converge, and typically, when these trendlines meet, a breakout occurs. Tron is also showing signs of an inverse head-and-shoulders pattern, another bullish indicator in technical analysis. If the current pattern holds, the next major price target would be $0.45, representing an 85% increase from its current level of $0.2395. However, if TRX were to drop below the 200-day moving average at $0.2075, this would invalidate the bullish outlook, signaling further downside potential.

Overall, while Tron (TRX) has faced a 47% decline from its highs this year, the recovery of its meme coin ecosystem, strong ecosystem growth with high Tether transaction volumes, and positive technical patterns suggest that TRX could see a significant rebound in the near term. A breakout above current levels could lead the price to surge by as much as 85% to reach the $0.45 level. However, the price’s ability to maintain its position above the 200-day moving average will be crucial to maintaining a bullish outlook.