I recently noticed that TRON moves upwards in marketcap. I have to say that I am biased, because I always stayed away from this project, especially because of his prominent leader “Justin Sun”.
However the price surge made me curious and I gave it a shot and looked if there was something which could explain the new pump.
After looking into their subreddit and searching the internet, I did not find a good reason (development progress, real world adoption), why TRON should be gaining in value.
The only reason that I found, which was also mentioned in one post on their subreddit, is that a lot of TRON tokens are burned, decreasing the supply. Of course this leads to an increase in value.
To all the newcomers who search for the next rocket launch, this isnt it. Of course do your own research, but IMO this project only survives because of hype. The newest attempt is to increase the value, to probably get even more people on the hook. And I do think the price will increase short term, but someday people will realize that this project is all hype and marketing to say the least.
In the end, it doesnt matter if you have a scarce token when it cannot do much.
Source #1: [https://np.reddit.com/r/Tronix/comments/mkc98a/what_is_the_reason_for_the_surge/](https://www.reddit.com/r/Tronix/comments/mkc98a/what_is_the_reason_for_the_surge/)
Source #2: [https://twitter.com/justinsuntron/status/1360528262271705088](https://twitter.com/justinsuntron/status/1360528262271705088)
Edit: Since this got a lot of heat which was to be expected, I firstly want to say that I am still sceptical about TRX. But as I mentioned, and people who commented, everybody should do his/her own research. To the comments which say “Tron is great, its a fast network with low fees” I just want to say, that “high speed” in a rather centralized system is nothing to be really proud of. There are projects working on systems with “high speed”, which however dont sacrifice dezentralization. And othe projects with decentralization suffering from scaling problems working do better scale.
Source #3: [https://finance.yahoo.com/news/tron-co-founder-cto-leaves-105200597.html](https://finance.yahoo.com/news/tron-co-founder-cto-leaves-105200597.html)