Tron recently welcomed the USD1 stablecoin from World Liberty Financial Inc.(WLFI), and it is drawing fresh attention to TRX crypto. As traders are now closely watching what could come nextin TRX price action ahead.

Data from DeFiLlama shows Tron’s TVL has crossed $5 billion, signaling strong DeFi activity. On June 6, the network recorded 4.5 million returning addresses,which is suggesting consistent user engagement with Tron-based apps.

This surge in TVL, alongside a high-profile stablecoin launch and growing USDT usage, initially supported a positive outlook for TRX price action.

However, a recent Bitcoin pullback, triggered by Trump’s tariff threats, has led to a broad altcoin decline, including TRX price.

Still, despite this short-term dip, TRX’s Sharpe Ratio remains strong, indicating potential room for future gains.

In the near term, volatility may persist. But over the long run, the broader outlook for TRX price remains optimistic.

Tron’s Network Activity Booms WIth USDT Leading The Way

Since, Bank of America is reportedly speeding up the development of its own U.S. dollar-backed stablecoin. This move signals that traditional financial institutions are becoming more involved in the crypto space. 

As a fact,the Stablecoins are playing a growing role in crypto adoption. WLFI’s recent launch of its USD1 stablecoin on the TRON network supports this trend.

Meanwhile, TRON is gaining attention as a preferred platform for stablecoin projects. According to a recent report from CryptoQuant, TRON handled nearly $695 billion in USDT transactions during May 2025. Of this, $411 billion came from whale transactions, those over $1 million in value. This marks a record high for network activity and has sparked greater interest in TRX from both institutions and investors.

Whales were responsible for about 59% of all USDT volume on TRON last month, showing strong involvement from large players in the ecosystem.

TRON also now holds the largest amount of stablecoins compared to any other blockchain. Its TRC-20 version of USDT alone accounts for $75.7 billion in circulation.

In addition, large mints of $1 billion or more are becoming frequent. In the first half of 2025 alone, there have already been 17 separate USDT mints exceeding $1 billion each on TRON.

This growth is also visible in network usage. TRON has now processed over 10.5 billion total transactions, showing steady on-chain demand and increasing real-world utility.

TRX Sharpe Ratio Indicates Top Not Reached Yet

Moreover,a separate analysis from CryptoQuant suggests that the Adjusted Sharpe Ratio for TRX currently stands at 8.3, while the TRX price trades around $0.29. 

Not long ago, the ratio had fallen below 1, signaling undervaluation. This suggests TRX remains in a relatively “cheap zone” and is far from overheating.

Looking ahead, since the Sharpe Ratio is still well below its historical highs, there’s substantial room for upside. This positions TRX as a strong candidate for a potential bullish rally in 2025.

From a technical perspective, TRX crypto has a pattern of launching sharp upward moves after consolidating within ascending parallel channels, as seen in Q4 2024. Interestingly, a similar channel structure has now formed in Q2 2025, increasing the probability of another breakout.

If the pattern holds and bullish momentum builds, reaching $0.44 by the end of June seems likely. Should the rally strengthen further, hitting the $1 mark, while ambitious, can’t be ruled out entirely.

However, caution is also warranted. TRX is currently testing the lower boundary of its rising channel. A breakdown from this level could lead to a short-term decline to $0.21. In a more extended bearish scenario, the price may test the long-term support at $0.14, a level expected to hold strong under pressure.

In summary, TRX price sits at a critical juncture. A breakout could ignite significant gains, while a breakdown may open the door to short-term losses.