Tron (TRX) is gaining renewed attention in the crypto market thanks to a series of developments that highlight both its growing utility and long-term potential. The most notable update this week is a strategic move by Nasdaq-listed SRM Entertainment, which plans to rebrand itself as “Tron Inc.” and bring Tron founder Justin Sun on board as an advisor. As part of the deal, SRM will acquire TRX tokens, positioning Tron closer to becoming one of the first major crypto-linked companies to go public through a traditional equity structure.

This move could mark a major milestone for the blockchain sector, as it connects decentralized finance with traditional markets in a new way. However, the current market backdrop is filled with uncertainty. Rising geopolitical tensions, particularly in the Middle East, have caused sharp volatility across global markets — and crypto is no exception.

Despite these external challenges, Tron’s internal metrics are showing strong signs of health. New data from CryptoQuant reveals that daily energy consumption on the Tron network has jumped 108% year-over-year, reaching 200 billion energy units per day. A year ago, that number stood at just 77 billion.

What Does Tron’s Energy Usage Mean?

In Tron’s ecosystem, “energy” is consumed every time a smart contract is executed. That means the more energy used, the more activity is happening on the blockchain — from decentralized app interactions to token transfers and beyond.

Even more notable is that 80% of this energy usage is coming from staked TRX, which shows strong participation from the community. When users stake their TRX, they’re locking up their tokens to help secure the network and earn rewards. That level of engagement points to a maturing ecosystem that is actively being used, not just held passively.

This surge in smart contract activity paints a clear picture: Tron is becoming one of the more heavily used platforms in the crypto space, even if its price isn’t reflecting that growth just yet.

Price Pullback Meets Strong Fundamentals

After peaking at $0.295 earlier this week, Tron’s price has seen a 9% correction, bringing it down to $0.2730. This decline came shortly after the SRM Entertainment reveal , as broader market fears — including concerns over inflation and international conflict — caused many cryptocurrencies to pull back.

But even with this dip, TRX is holding onto key support levels. It’s now consolidating above its 50-day moving average, which has provided steady support since early spring. The price is also tracking an ascending trendline that has been in place since March, suggesting the overall structure of the market remains bullish for Tron.

Smart Contract Growth Sets Up Tron for Potential Rebound

Even though the price is down in the short term, the on-chain metrics suggest Tron is well-positioned for a recovery. The 108% increase in energy consumption over the past year reflects growing demand for Tron’s network services, especially through smart contracts and decentralized apps (dApps).

Many of these smart contract executions are likely tied to decentralized finance (DeFi) and token transfers, both of which are core to Tron’s value proposition. The fact that so much of this demand is powered by staked tokens also hints at a loyal and engaged user base.

This divergence — strong fundamentals but a falling price — is often seen during moments of market stress. But if overall sentiment improves, Tron could be one of the first to bounce back, supported by its solid usage metrics.

What’s Next for TRX?

Looking forward, key levels to watch are the support zone between $0.269 and $0.253, backed by the 100-day and 200-day moving averages. If TRX holds above these levels, analysts say a return to recent highs is possible. A breakout above $0.295 could open the door to further upside, especially if investor sentiment rebounds.

Moreover, the SRM-Tron partnership may bring greater visibility and legitimacy to the Tron ecosystem, especially if the rebranded “Tron Inc.” gets more attention from traditional finance circles.

Final Thoughts

In a time when crypto investors are looking for both utility and growth, Tron is showing strength where it matters most — on the blockchain itself. With smart contract activity soaring and daily energy usage doubling in a year, Tron is proving that it’s more than just a speculative asset. It’s a platform with real adoption, even if the market hasn’t fully priced that in yet.

As the market stabilizes and geopolitical noise settles down, Tron’s strong fundamentals could fuel its next upward move — especially with increasing attention from public companies and institutional investors.