Tron (TRX) continued to trade under pressure for a fifth consecutive session, slipping nearly 1% on Monday, as broader market risk aversion weighed heavily on altcoins. Despite ongoing accumulation efforts from Tron Inc. — formerly SRM Entertainment Inc. — bearish sentiment across the derivatives market has so far limited any meaningful price recovery.
At the time of writing, TRX remains under selling pressure, with traders showing a clear preference for defensive positioning amid rising uncertainty across the digital asset market.
Treasury Accumulation Fails to Shift Market Sentiment
Tron Inc., a Digital Asset Treasury (DAT) focused on TRX, disclosed the purchase of approximately 174,740 TRX on Monday at an average price of $0.29 per token, lifting its total holdings to more than 679 million TRX.
Under more favorable market conditions, such accumulation activity from a treasury-focused entity would typically provide psychological support and help stabilize price action. However, current market dynamics suggest that macro-driven risk-off behavior is overpowering token-specific fundamentals, limiting the immediate impact of these purchases on TRX price performance.
Derivatives Data Signals Persistent Bearish Bias
Signals from the derivatives market continue to reinforce a cautious outlook. According to available data, open interest (OI) in TRX futures declined by 1.61% over the past 24 hours, falling to approximately $251.55 million. This contraction suggests reduced trader participation and fading speculative interest.
More notably, the OI-weighted funding rate has remained firmly in negative territory at around -0.0916%, indicating that short sellers are willing to pay a premium to maintain bearish exposure. This dynamic reflects a prevailing expectation among derivatives traders that downside risks remain elevated in the short term.
The negative funding environment also coincides with an increase in long-position liquidations, further highlighting the pressure faced by bullish traders during the ongoing correction.
Broader Market Context Remains a Headwind
The weakness in TRX appears closely tied to broader market conditions rather than project-specific developments. As liquidity tightens and volatility rises across the crypto market, investors have shown a tendency to reduce exposure to altcoins, particularly those perceived as higher beta assets.
Until risk appetite improves or derivatives positioning stabilizes, TRX may continue to struggle to attract sustained buying interest, even as treasury accumulation provides longer-term structural support.
Outlook
In the near term, TRX price action is likely to remain sensitive to changes in funding rates, open interest trends, and overall market sentiment. A shift back toward neutral or positive funding, combined with stabilizing open interest, could signal easing downside pressure. Conversely, continued negative funding and declining participation may keep the token under stress.
Disclaimer:
This article is for informational purposes only and reflects personal market observations. It does not constitute investment advice. Readers should conduct their own independent research before making any investment decisions. The author assumes no responsibility for any financial losses.
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