TRON (TRX) has climbed more than 7% in May 2026, hitting an 8-month high over the weekend. The price appreciation isn’t isolated.
Several other altcoins, including Zcash (ZEC), Ondo (ONDO), and Toncoin (TON), have also rallied this month. However, a key on-chain signal is raising concerns about the sustainability of TRX’s rally.
TRX Climbs to $0.35 as Tron Boosts Treasury
According to market data, TRX surged to $0.353 on May 9, its highest level since mid-September 2025. The token was trading at $0.349 at press time, edging 0.2% higher on the day.
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Alongside the price climb, Tron Inc., the treasury company built around TRX, scooped up an additional 142,127 coins at an average price of $0.3518. The latest purchase pushes the firm’s total holdings beyond 695.4 million TRX.
“The company aims to further grow its Tron DAT holdings to enhance long-term shareholder value,” the firm said.
On-Chain Signal Diverges from Price
Nonetheless, network usage has not kept pace with the price rally, according to CryptoOnchain’s analysis. Total tokens transferred on the network have dropped from roughly 17.3 billion to 12.2 billion over the past month.
“Typically, a healthy and sustainable price rally is validated by increasing network activity and utility. This glaring divergence suggests that the current upward momentum to $0.35 is not supported by actual on-chain usage. It implies that the recent price action might be driven more by speculation or hoarding rather than organic network activity,” the analyst said.
According to the analyst, the $0.35 level remains exposed in the absence of supporting transaction activity. If buying momentum wanes, the lack of “underlying utility” could pave the way for a downside move.
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