The cryptocurrency created by Justin Sun has seen 80% surge in just one day, and it’s all happening against the backdrop of political chaos in South Korea.
TRX to the Moon?
Tron’s TRX token has jumped 78.4%, trading at around $0.40, after peaking at over $0.43 late Tuesday night. Even Just, the token for Tron-based DeFi protocols, shot up by 50%, hitting $0.06.
Social media chatter suggests that this sudden rally is linked to the political unrest in South Korea, because on Tuesday night, President Yoon Suk-yeol declared emergency martial law for the first time in over 40 years.
He quickly rescinded it five hours later after lawmakers voted against it, the chaos had already blew up the crypto market. One user on X noted, the results are visible.
“It seems that during martial law, all of crypto is moving out to foreign exchanges as South Korean exchanges blew up.”
The two largest exchanges in the country, Upbit and Bithumb, reported service suspensions due to a spike in trading activity.
What does the analysis says?
Rachael Lucas, a crypto analyst at BTC Markets, commented on the situation, as the recent rally in Tron appears to be partly driven by political instability in South Korea.
She pointed out that TRX is often used as a transfer token between exchanges, especially in South Korea, making it a go-to option for traders looking to move funds quickly.
With Upbit handling over 80% of the country’s spot trading volume sometimes facing restrictions, traders are likely seeking alternatives like TRX to transfer their assets smoothly.
Of course, not everyone believes this is solely due to political events, as Min Jung from Presto Research noted that while the unrest may have played a role, it’s also part of a bigger trend where older cryptocurrencies like XRP are gaining traction under current market conditions.
Let the Sun shine
Adding another layer to this story is Justin Sun himself. Recently named an advisor to World Liberty Financial, a DeFi project backed by Donald Trump, Sun has been making headlines for his less-conventional moves.
Last month, he even bought Maurizio Cattelan’s famous duct-taped banana artwork for $6.2 million, which he later ate during a press conference.
With TRX hitting new heights and experiencing increased whale activity, excitement doesn’t seem to be slowing down.
The total value of these whale transactions reached around $432 million, signaling serious interest from both institutional investors and high-net-worth individuals, but it also raises concerns about potential volatility.
If whales decide to cash out, we might see some rapid fluctuations that could rattle retail investors.
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