Tron’s native TRX token surged by as much as 13% on Monday, as hype surrounding the recently launched BitTorrent token (BTT) continued to generate interest in the decentralized entertainment platform.
TRX Climbs to Weekly High
The TRX price reached a high near $0.0290 on Monday, its best in over a week. The session high was generated by a sudden burst in trading volume beginning around 03:00 UTC. About one hour later, TRX had gained a whopping 13%. Daily trade volumes reached a high near $323 million later in the session.
Gains in TRX have since moderated, with the price last seen hovering just above $0.0270. That represents a gain of 5.7%.
At current values, TRX has a total market capitalization of $1.8 billion, placing it in the no. 8 spot on the active leaderboard. It’s well ahead of Stellar XLM, which is current valued at just over $1.5 billion, but still a way off from Tether’s $2 billion cap.
TRX has made several attempts to climb back above $0.0300 but has been prevented from doing so. This upside target remains very much in play, though a failure to make a convincing break higher could reignite bear pressure. The TRX price has been firmly capped below this level since last summer.
As Tron reported gains, the broader cryptocurrency market pivoted slightly lower on Monday. The cryptocurrency market cap edged down $113.7 billion from $114 billion just 24 hours ago.
BTT Airdrop Imminent
As Tron founder Justin Sun outlined last month, the BitTorrent Foundation will initiate the first airdrop of its BTT token to on Feb. 11. The initial rollout will be limited to existing TRX holders once Tron’s block height reaches 6.6 million. A total of 10.89 billion units of BTT will be airdropped on that day, which represents 1.1% of the circulating supply.
The BitTorrent token sale was administered on Jan. 28, 2019 via Binance Launchpad, where 60 billion BTT were scooped up in under 15 minutes. The public sale raked in around $7.2 million, based on BTT’s value at the time. As Hacked recently reported, BTT rose by as much as 55% on Monday as the token made its way to seven exchanges, including Upbit and BInance.
At the time of writing, BTT had a token value of $0.000810. Its trading volume spiked to $269 million, with Binance accounting for more than half of the daily turnover. Upbit processed nearly 41% of the daily transactions.
Despite the euphoria surrounding BTT, not everyone is convinced that the Tron ecosystem can support such a vast initiative. Former BitTorrent executive Simon Morris says Tron’s network doesn’t have the capacity to handle BitTorrent’s transactional capacity.
Morris summed up his criticism in an interview with BreakerMag on Jan. 11:
“It was very clear when I was [at BitTorrent] that there was no way the transaction capacity of Tron would [work]. The transactional capacity we [were] looking at was needing hundreds of transactions a second just to get started. It’s simply not there. You hear all the bullshit out there, oh, this does 10,000 transactions a second. It’s all crap. We were going to melt Tron. Literally destroy it.”
Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
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