Tron [TRX]: Short-term investors should be cautious with this supply zone

TRON TRX recently ranked the second highest in total value locked (TVL), with Ethereum taking the first spot. Therefore, it shouldn't be surprising that its native token, TRX, has made 6% gains since 17 December.

Timeline of Tron

According to a tweet by TRON Community on 20 December, TRON [TRX] grabbed the second spot on the list of blockchains with the highest total value locked. It was second only to the king of altcoins, Ethereum [ETH].

The native currency of the Tron network, TRX, is one of the few cryptocurrencies in the current altcoin market to experience a price hike. As of this writing, TRX has gained 0.2% on a daily basis, with a 6.1% increase seen on a monthly timeframe.

Despite turbulent market conditions, TRON [TRX] made great strides in terms of development. Notably, on 15 December, the network launched a new Yuan stablecoin with the help of TrueUSD.

As the final month of 2022 rolls in, the cryptocurrency market, along with TRON (TRX), is trying to offset the losses it suffered throughout the year, affected by various macroeconomic factors, as well as developments in the sector, including bankruptcies of major participants.

Altcoin: Tron (TRX) has seen a fair amount of volatility over the years. With a market capitalization of $5 Billion, it seeks to host a global entertainment system for the cost-effective sharing of digital content.

TRON's stablecoin, USDD, depegged from the dollar TRX price action held out in the negative as Justin Sun calmed the community USDD, the decentralized stablecoin of TRON [TRX], lost its peg to the dollar on 11 December, Eliosa Marchesoni revealed.

Justin Sun's algorithmic stablecoin USDD depegs again and falls to $0.96. Tron blockchain's native algorithmic stablecoin failed to repeg against the US dollar following the collapse of crypto exchange FTX.

TRON's weekly report revealed several promising developments  Some metrics supported a price surge, while RSI and other market indicators suggested otherwise TRON [TRX] published its weekly report on 10 December, which detailed all the developments related to the ecosystem over the last seven days.

Tron's Relative Strength Index (RSI) was overbought at press time TRX's metrics and market indicators strongly favored the bears   Tron's [TRX] price action of last week was extremely sluggish, as it registered negative growth. New data from CryptoQuant revealed that the upcoming days might be even worse, as TRX's RSI was in an overbought position.

The native cryptocurrency of Tron, TRX, has been going up over the last week of November. Even though this is good news, investors will also be happy with the latest weekly update from the network.