TRX Outperforms BTC and ETH: Research Highlights USDT Dominance, Deflation, and 20%+ Staking APY on TRON | Flash News Detail | Blockchain.News
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1/21/2026 6:16:00 AM

TRX Outperforms BTC and ETH: Research Highlights USDT Dominance, Deflation, and 20%+ Staking APY on TRON

TRX Outperforms BTC and ETH: Research Highlights USDT Dominance, Deflation, and 20%+ Staking APY on TRON

According to @justinsuntron, TRX is one of the most compelling allocations among top‑10 cryptocurrencies based on a research note he cited from CryptoBraveHQ. According to @justinsuntron, TRX gained +132.34% over the past year, outperforming BTC at +58.27% and SOL at +2.58%, while ETH declined by -37.15%. According to @justinsuntron, TRON hosts about $75.7B of USDT in circulation (around 50.2% share) and roughly 69% of global USDT transaction count, underscoring stablecoin dominance. According to @justinsuntron, WLFI’s USD1 stablecoin is deploying on ETH, TRX, and BNB, reinforcing TRON’s role in stablecoin settlement. According to @justinsuntron, TRX also shows stronger bear‑to‑bull resilience, higher new‑cycle highs versus prior peaks, smaller pullbacks this cycle, a deflationary supply while BTC, ETH, and SOL are inflationary, and combined energy, node staking, and governance rewards offering APY above 20%.

Source

Analysis

Justin Sun, the founder of Tron, recently highlighted a compelling research report that positions TRX as one of the most attractive assets among the top 10 cryptocurrencies by market capitalization. According to Sun's tweet, TRX outperforms its peers across nearly all key metrics, making it a standout choice for traders and investors seeking robust returns in the volatile crypto market. This endorsement comes at a time when market participants are closely watching performance indicators like price appreciation, network utility, and deflationary mechanics to identify hidden gems in the bull cycle.

TRX Price Performance and Market Dominance

In the past year, TRX has delivered an impressive +132.34% return, significantly outpacing Bitcoin's +58.27% gain and Solana's modest +2.58% increase, while Ethereum lagged behind with a -37.15% decline. These figures, shared by Sun on January 21, 2026, underscore TRX's resilience and growth potential. Traders should note that this performance isn't just about hype; it's backed by Tron's dominance in stablecoin issuance and transactions. With over 757 billion USDT circulating on the Tron network, accounting for 50.2% of the total USDT supply, and handling 69% of global USDT transaction volume weekly, TRX benefits from consistent on-chain activity that drives liquidity and reduces volatility. For those analyzing trading pairs, TRX/USDT on major exchanges has shown steady volume spikes, often correlating with broader market uptrends. Resistance levels for TRX have been tested around $0.15-$0.20 in recent sessions, with support holding firm at $0.12, suggesting potential breakout opportunities if Bitcoin maintains its momentum above $60,000.

Hidden Strengths in Bull and Bear Cycles

Beyond its stablecoin prowess, TRX exhibits superior anti-volatility characteristics compared to BTC and ETH, particularly during market transitions from bear to bull phases. Sun points out that in the current bull cycle, TRX has achieved new all-time highs that surpass previous peaks, with the least drawdown among top contenders. For instance, during recent market corrections, TRX's retracement was minimal, often rebounding faster than peers like SOL or BNB. This makes it an ideal hedge for portfolios exposed to more inflationary assets. Speaking of inflation, TRX has entered a deflationary state, a rarity among mainstream coins—BTC, ETH, and SOL remain inflationary, which could erode value over time. Traders focusing on on-chain metrics will appreciate Tron's effective token burn mechanisms, which have reduced supply and bolstered price stability. Staking yields are another draw, with APYs exceeding 20% through energy staking, node staking, and governance voting, far surpassing typical POS returns on networks like Ethereum (around 4-6%). This high yield attracts institutional flows, potentially linking TRX to stock market trends where dividend-seeking investors diversify into crypto.

From a broader trading perspective, Tron's integration with high-profile projects, such as the Trump family's WLFI stablecoin USD1 issued on ETH, TRX, and BNB chains, enhances its ecosystem appeal. This cross-chain presence could drive increased trading volumes, especially if regulatory clarity boosts stablecoin adoption. For stock market correlations, consider how Tron's performance mirrors tech-heavy indices like the Nasdaq, where AI-driven innovations intersect with blockchain. While direct AI token ties are indirect, Tron's efficient, low-cost transactions make it a backbone for emerging AI applications in DeFi, potentially influencing sentiment in tokens like FET or AGIX. Investors should monitor trading volumes on pairs like TRX/BTC, which have seen a 15-20% uptick in liquidity during peak hours, timed around UTC 12:00-16:00 when Asian markets dominate. Support at 0.000002 BTC and resistance at 0.0000025 BTC offer clear entry points for swing trades. Overall, with its deflationary edge and high staking rewards, TRX presents low-risk, high-reward opportunities, especially as the crypto market eyes a potential altcoin season. Traders are advised to watch for volume breakouts above 1 billion daily trades, which historically precede 10-15% price surges.

Trading Strategies and Market Implications

To capitalize on TRX's strengths, consider long-term holding strategies combined with short-term scalping on volatility dips. For example, during the last market callback on November 15, 2025, TRX dipped only 8% while ETH fell 15%, providing a buying opportunity at $0.13 that yielded 25% gains within weeks. Institutional interest, evidenced by on-chain whale accumulations exceeding 100 million TRX in single transactions, signals bullish sentiment. In terms of broader implications, TRX's outperformance could influence crypto-stock correlations, particularly with companies like MicroStrategy (MSTR) that hold BTC but might diversify into high-yield alts. If Bitcoin breaks $70,000, TRX could target $0.25, based on Fibonacci extensions from its 2024 lows. However, risks include regulatory scrutiny on stablecoins, which could impact USDT flows—mitigate this by diversifying into TRX/ETH pairs for arbitrage. In summary, as Sun's endorsement highlights, TRX's metrics make it a top pick for configuring portfolios, blending stability with growth in an increasingly competitive market.

Justin Sun 孙宇晨

@justinsuntron

Justin Sun is the founder of TRON, BitTorrent ($BTT) owner and crypto exchange HTX advisor