Bitget App
Trade smarter
Open
HomepageSign up
Bitget>
News>
Tron (TRX) Price Recovery Backed by Sharp Drop in VaR and Beta

Tron (TRX) Price Recovery Backed by Sharp Drop in VaR and Beta

Cryptopotato2025/05/31 16:00
By: Author: Chayanika Deka
With VaR and Beta both down, Tron is showing signs of becoming a more stable and less reactive digital asset.

Tron TRX has maintained strong stability during a period of widespread market turbulence. The tenth-largest cryptocurrency has consistently traded above $0.26 for over two weeks and has managed to retain this level even as global trade tensions rise.

This growth amid broader market volatility is supported by a marked decline in key risk metrics.

TRX – A Safer Bet?

Recent analysis indicates that Tron’s Value at Risk (VaR) has decreased significantly in the past few months. This metric, which measures the potential for losses at a 95% confidence level, now points to a more stable and less risky investment profile, according to CryptoQuant.

The simultaneous drop in VaR during a period of price recovery highlighted Tron’s strengthening position in the market. In addition, TRX’s daily rolling Beta against Bitcoin has also declined notably. A lower Beta means that TRX is becoming less sensitive to Bitcoin’s price movements, which essentially suggests a reduced correlation and improved independence from broader market swings.

Such a decoupling indicates a shift toward a more mature and stable asset. Together, the lower VaR and Beta metrics suggest that Tron is not only recovering in price but doing so with reduced volatility and systemic risk.

“This powerful combination – price appreciation alongside reduced risk and market correlation – positions Tron as an increasingly attractive asset. It highlights a maturing ecosystem and a more robust foundation for future performance.”

Stablecoins Pour Into Tron, Drain From Ethereum

The current bullish signal in the Tron ecosystem has been building gradually as market participants shifted toward the asset. Lookonchain’s analysis recently revealed that the Tron network has seen a significant inflow of stablecoins, with USDT and USDC balances collectively increasing by $2.12 billion in a span of seven days.

On the other hand, the Ethereum network experienced an outflow as stablecoin balances dropped by $2.44 billion over the same period. This divergence highlighted a growing shift in user preference and capital allocation toward Tron, which is likely driven by its lower transaction fees and faster settlement speeds.

The development also marked a shift in stablecoin activity as liquidity moved away from Ethereum to Tron. The increased adoption is likely one of the price catalysts playing out on the market now.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

New spot margin trading pair — HOLO/USDT!
Bitget Announcement2025/09/12 07:46
FUN drops by 32.34% within 24 hours as it faces a steep short-term downturn

- FUN plunged 32.34% in 24 hours to $0.008938, marking a 541.8% monthly loss amid prolonged bearish trends. - Technical breakdowns, elevated selling pressure, and forced liquidations highlight deteriorating market sentiment and risk-off behavior. - Analysts identify key support below $0.0080 as critical, with bearish momentum confirmed by RSI (<30) and MACD indicators. - A trend-following backtest strategy proposes short positions based on technical signals to capitalize on extended downward trajectories.

Bitget-RWA2025/09/12 06:14
OPEN has dropped by 189.51% within 24 hours during a significant market pullback

- OPEN's price plummeted 189.51% in 24 hours to $0.8907, marking its largest intraday decline in history. - The token fell 3793.63% over 7 days, matching identical monthly and yearly declines, signaling severe bearish momentum. - Technical analysts cite broken support levels and lack of bullish catalysts as key drivers of the sustained sell-off. - Absence of stabilizing volume or reversal patterns leaves the market vulnerable to further downward pressure.

Bitget-RWA2025/09/12 06:14
New spot margin trading pair — LINEA/USDT!
Bitget Announcement2025/09/11 10:04

Trending news

More
1
New spot margin trading pair — HOLO/USDT!
2
FUN drops by 32.34% within 24 hours as it faces a steep short-term downturn

Crypto prices

More
Bitcoin
Bitcoin
BTC
$115,798.77
-0.18%
Ethereum
Ethereum
ETH
$4,611.17
-1.07%
XRP
XRP
XRP
$3.04
-2.72%
Tether USDt
Tether USDt
USDT
$1
+0.01%
Solana
Solana
SOL
$242.44
+0.80%
BNB
BNB
BNB
$929.35
-0.11%
USDC
USDC
USDC
$0.9998
+0.01%
Dogecoin
Dogecoin
DOGE
$0.2789
-3.66%
TRON
TRON
TRX
$0.3482
-0.42%
Cardano
Cardano
ADA
$0.8904
-4.37%
How to sell PI
Bitget lists PI – Buy or sell PI quickly on Bitget!
Trade now
Become a trader now?A welcome pack worth 6200 USDT for new users!
Sign up now
Trade smarter