TRON (TRX), cryptocurrency–On Monday, investors in TRON’s TRX currency watched the coin fall nearly six percent in two hours. This was a significant drop to continue the bear cycle established during 2018. However, when investors searched the internet for the causes of a sudden drop in TRX prices, it quickly became clear that the entire market was suffering from a simultaneous sell-off, likely tied to the price of Bitcoin.
A cursory glance at a coin market cap and other crypto price tracking websites reveals a pattern that has become common over the past six months: altcoin prices depend almost entirely on the movement of bitcoin across the board. While this has traditionally benefited the altcoin market as BTC has much higher brand awareness and investment potential than even coins in the top ten market cap, the falling price of crypto in 2018 created a frustrating impasse for most altcoin growth.
Despite news that TRON is tied to the Chinese tech giant Baiduthe TRX currency has seen almost no price increase in the past few weeks and the coin saw another decline yesterday. Investors have no choice but to tackle the wave of losses, try their hand at day trading, or indulge in the exchange-driven price speculation that dominates most of the cryptocurrency market. Value investors, who have largely wiped out Crypto over the past eight months, are constantly scratching their heads because there are no correlative price movements, with TRON and the entire altcoin market almost indebted to the volatility of BTC.
Bitcoin has long been the center of cryptocurrency and the top of market capitalization – rightly given its origins and large user base compared to other coins on the market. However, the ongoing bear cycle for both Bitcoin and cryptocurrency creates a stranglehold in which developers and coin teams have little incentive, at least in the short term, to build on and expand on their project.
Although the TRON Foundation and CEO Justin Sun are one of the more active crypto teams and market leaders in the industry, TRX has repeatedly failed to develop a price differentiation according to its development. The takeover of BitTorrent by Sun and the planned integration into the TRON network via Project Atlas should be announced by investors and users as a massive platform for the development of TRON. However, the coin price is increasingly becoming an irrelevant milestone for project success.
Crypto investors, whose wallets are aching after almost a year of the price crisis, are rightly hoping for a turn in the markets that will give their portfolio a certain appreciation. However, the long game is becoming increasingly attractive, especially for projects like TRON, which in the event of a bullish renewal can be the fastest movers. Greater institutional interest, even in the absence of an SEC-approved Bitcoin Exchange-Traded Fund, will provide a more sophisticated investment landscape that will provide a return on value investments for larger projects like TRON that have built potential over the course of 2018 could.