In a new partnership with the Commonwealth of Dominica, TRON [TRX]Open source decentralized blockchain, var most dangerous As the preferred blockchain for the Commonwealth of Dominica to develop and issue the Dominica Currency (DMC).
Since the announcement, TRX, the original coin of the Tron blockchain, has seen some traction. According to CoinMarketCap data, TRX price rose 3.2% after the announcement.
Commenting on the new partnership, Prime Minister of Dominica Roosevelt Skerrit said:
“The open and cost-effective nature of the TRON blockchain infrastructure will play an important role in better integrating small island nations like Dominica into the global economy in the future.”
But is this partnership beneficial?
TRX on the 4 hour chart
At the time of writing, TRX is trading at $0.06331. In addition to a 3% increase in the asset’s price over the past 24 hours, its trading volume has also increased by 8.42% over the same period, according to data from CoinMarketCap.
On the four-hour chart, TRX buyers maintained the momentum. At the time of publication, the asset’s RSI was flat above the neutral zone 50 at 57. In an uptrend, the Money Flow Index (MFI) was at 67, approaching the overbought territory.
At a break above the midline (in red), the dynamic line of the Chaikin Funds Flow of Origin (CMF) was pegged at 0.07 at the time of publication. This indicates that investors took the news of the network partnership positively.
Investors looking to take part in the latest TRX price rally should note that price growth may be temporary. Once the hype around the partnership fades, the bears may start a market takeover.
Not all was well with TRX
At its current price, TRX is trading at June 2021 levels. According to data from CoinMarketCap, the asset is 78.89% shy of its all-time high, which it hit five years ago on January 5, 2018.
Statistically significant post interconnected relationship With Leading Bitcoin [BTC]TRX has also been affected by the general reversal that has plagued the cryptocurrency market since January.
Year-to-date, the altcoin is down 16%. Similarly, its market capitalization has fallen from $7.73 billion to $5.85 billion since the beginning of the year.