TRON: Who’s fueling TRX’s breakout? It’s not whales, here’s the answer!

• TRX gained as trading volume rose 14% to $507 million, driven by spot accumulation.
• DEX Volume fell 62% in five days, signaling declining interest from decentralized traders.

TRON [TRX] has gained momentum over the past 24 hours, rallying 2.53% as trading volume climbed 14% to $507 million within the same period.

Market analysis suggests this could mark the beginning of a further bullish move. On-chain activity and sentiment have shifted more in favor of the asset trending higher.

How will user activity impact Tron?

TRX saw a dramatic surge in network activity. Daily Active Addresses jumped from 2.8 million to 4.6 million — a 64% spike.

This increase of 1.8 million active users coincided with a rise in transaction volume, which soared to 11 million.

Source: Artemis

This is a bullish signal, as it suggests that the growth in users was accompanied by accumulation and increased usage of TRX in transactions.

However, not all on-chain metrics align with this optimistic sentiment. In fact, decentralized trading activity suggests that some investors in this sector remain less optimistic.

But DeFi metrics tell a different story

Activity on decentralized platforms has diverged from the bullish sentiment observed in broader on-chain metrics.

As of press time, TVL has stabilized at $4.89 billion, showing little recovery in protocol liquidity.

Source: DeFiLlama

More telling, DEX Volume has plunged — down from $213.45 million on June 5 to just $80.8 million today.

Source: DeFiLlama

This suggests fewer users are active on DEXs, with many former traders likely having sold their assets.

With AMBCrypto’s analysis showing that the current rally is not driven by derivative traders, the question remains: Who is fueling the rally?

So who’s buying? All signs point to…

TRX’s growth over the past 24 hours has likely been driven by spot traders actively buying the altcoin.

According to data on TRX Inflows and Outflows on exchanges, there have been more purchases made in the last 24 hours than in previous periods.

Source: CoinGlass

Spot traders have acquired $1.27 million worth of TRX from the market. If this buying trend continues, TRX could continue to push higher.

TRX’s rally looks strong on the surface, with soaring address activity and spot demand, but cracks are visible.