Another digital coin is soaking up the limelight this week. Tron (TRX) has rapidly moved up the cryptocurrency ranks to join the coveted top ten list, but it may not stay there long.
Earlier this week, Tron was valued at ten cents. Then it suddenly doubled in value, sitting in eighth place for a short time before dropping down a bit.
On Thursday, Tron shot up by 112 percent, reaching 20.5 cents. However, as of today, the coin is sitting in ninth place and showing a value of around 18 cents. The website is showing that Tron has a market cap of $11,629,211,544.
Tron’s jump came after a tweet from its founder, Justin Sun, on Thursday morning. The tweet shared that Tron, “will announce our partnership with a very prestigious public company next week.” Later that day, Sun explained that the news would be shared in a live stream event on January 6th at 10am GMT+8 Beijing time.”
However, after viewing that live special announcement he promised, I heard no specific names mentioned. I went on to read some forums to make sure I hadn’t missed any other videos or posts. It appears that the only information the founder shared about the major partnership was that it was indeed major, and that further details needed to be lined up before he could share more information about it.
Having read people’s reactions following the video, it seems pretty clear why Tron dropped back down a bit afterwards. It still appears to be a hot new cryptocurrency, but people want to hear more details about where it is headed and know more about this important partnership. Many speculate it could be big, like Microsoft, but others are prepping for disappointment.
Tron is focused on creating a blockchain-based platform for monetizing digital entertainment. Investors shared on its website include some important names in Chinese business.
Tron’s drastic jump in value follows in the footsteps of other lesser-known cryptocurrencies that have risen in the ranks over the past few weeks. For example, Ripple (XRP) has soared over 1,000 percent in the last month, snagging second place. This past week, Stellar rose more than 300 percent, making it into the top 10 coins list as well.
“We are seeing the beginnings of renewed speculative fever driven by fears of missing out on the big gains that have recently happened in the crypto space,” explains William Mougayar, the organizer of the Token Summit conferences.
Most of the buying in the smaller digital currencies is coming from Bitcoin holders. Around 79 percent of Tron trading volume was in Bitcoin.
Bitcoin, still the largest and most well-known digital currency, rose 1,300 percent last year, according to Coinbase.