Tron (TRX) is showing renewed signs of strength as the broader crypto market stabilizes following a weekend of volatility. Trading around $0.24, TRX is holding its ground, buoyed by growing investor confidence and a significant development: a fresh $1 billion USDT mint on the Tron network by Tether. This move could be a major catalyst for TRX, with bullish traders now eyeing a rally toward the $0.40 level.

Despite a slight 0.91% dip over the past 24 hours, Tron remains among the top 10 cryptocurrencies by market capitalization, currently valued at over $23.4 billion. The altcoin’s resilience at this level suggests accumulating pressure that could translate into a breakout.

Price Action Signals Building Strength

On the technical side, Tron has been consolidating within a range between $0.21 and $0.255, with price action gaining support from the 50-day Exponential Moving Average (EMA). The alignment of the 50-, 100-, and 200-day EMAs in a bullish pattern signals a strong underlying trend. Analysts suggest this could be the calm before a storm — the type of price compression that often precedes sharp upward movements.

Recent price history shows that TRX is recovering from a steep correction that took it from a peak of $0.45 down to $0.21 in late 2024. The consolidation phase that followed indicates the market has absorbed much of the selling pressure, and TRX is now poised for its next big move.

Indicators like the Moving Average Convergence Divergence (MACD) also show positive signs. The MACD and signal lines are close together and trending in the positive zone, raising the possibility of a bullish crossover. Such a crossover typically indicates a reversal of bearish momentum and can act as a trigger for a sustained rally.

If momentum continues to build, the next key resistance level lies at $0.28 — the 23.6% Fibonacci retracement. A successful break above that could pave the way toward the 50% Fibonacci level at $0.3988, placing the $0.40 mark within realistic reach.

However, traders should also be aware of downside risks. If TRX fails to hold above the 50-day EMA around $0.24, a drop back toward the 200-day EMA at $0.2243 may follow, which would delay any bullish breakout.

Tether’s Massive Mint Signals Institutional Confidence

What’s fueling this potential rally is more than just technical momentum. Tether has recently minted an additional 1 billion USDT on the Tron blockchain, bringing its total new mints across Ethereum and Tron to 4 billion since April 28. This fresh injection of liquidity onto the Tron network is a major bullish indicator and could provide a substantial boost in transaction volume and demand for TRX.

According to data shared by crypto analyst Ted Pillows, Tron’s economic value on the blockchain is now 24.56%, trailing only Solana’s 41.72%. More impressively, Tron’s chain revenue now surpasses Ethereum’s, with a 16.4% share compared to Ethereum’s declining network share.

This financial strength is further evidenced by Tron’s impressive growth metrics. According to TronScan, the network has surpassed 304 million total accounts, and the total value locked (TVL) on the platform has exceeded $20 billion, currently sitting at $20.25 billion. These figures underscore the growing adoption and utility of the Tron ecosystem, especially as stablecoin transactions — largely facilitated by USDT — continue to drive activity.

What to Watch Next

As Tether continues to back its presence on the Tron network with massive liquidity support, TRX could emerge as a standout performer in the current market cycle. With network metrics at all-time highs and bullish momentum building on the charts, the $0.40 mark is increasingly being seen not just as a target, but as a realistic short-term goal.

For traders and investors alike, the key lies in watching how TRX behaves at the $0.255 resistance level and whether it can sustain price action above the 50-day EMA. If bulls maintain control, a rally toward $0.28 and beyond may soon be underway.