If an increase in Bitcoin occurs, the price of TRX might surge up to fourfold.
TRON (TRX) Could Potentially Quadruple in Value by 2025, According to Crypto Analyst Carmelo Alemán
Crypto analyst Carmelo Alemán has stated that TRX could increase fourfold in value by 2025, given Bitcoin's upward trend. In an analysis published on the CryptoQuant platform, Alemán pointed out that cryptocurrencies strongly connected to Bitcoin typically gain value more swiftly during bull markets. He stressed the significance of the correlation, measured by the Pearson coefficient, as a critical indicator for investors. Notably, TRX, together with SUI, ADA, HBAR, and LTC, tends to move in harmony with Bitcoin.
Bitcoin's market value of approximately $2 trillion 170 billion limits its upward potential, while TRX's $26 billion value offers a larger range of movement. Alemán commented, "It's challenging for Bitcoin to double from its present level. However, smaller market-cap altcoins with a strong correlation to Bitcoin can rise by 3-4 times."
After exhibiting a 16.4% increase over the past month, Bitcoin reached a new all-time high of $111,814 on May 22 but has since retracted to around $109,500. On a weekly basis, BTC has risen by 3.7%, and over the past 12 months, it has displayed a total performance of 60%.
TRX has outperformed BTC in various timeframes. In the last 24 hours, the token has increased by 1.9%, and in the last 30 days, it has risen by 10.4%. Since the beginning of the year, it has climbed by 146.4%. It remains 35% from its December 2021 peak of 0.4313 dollars.
Moreover, the growth of the Tron network, particularly in Asia, and the peak usage of Tether (USDT) contribute to the positive sentiment. CryptoQuant's latest data supports TRX's strong foundation, with a 180-day Sharpe ratio of 0.1-0.15 and a normalized risk metric of 0.5 levels, presenting a robust risk-reward profile.
Mid-term chain analysis suggests that all TRX owners are currently in the red, and experts believe this situation may create a positive cycle among users while potentially appealing to new investors.
Despite TRX's promising growth, Bitcoin remains the leading cryptocurrency with significant price volatility, strong institutional interest, and macroeconomic appeal. As of late May 2021, Bitcoin was trading around $106,000, just shy of its record highs with bullish forecasts potentially reaching $150,000 by the end of 2021 or even $600,000 by October 2021, according to some analysts. Over the last year, BTC has increased by about 56.4%, which is substantial but less than TRX's approximate 141.5% gain against the USD in the same period.
In summary, TRX has shown better performance than BTC in terms of percentage gain over the past year, and Alemán's bullish outlook suggests the potential for a substantial increase in TRX's value—possibly up to four times its current level—by 2025. Bitcoin, however, remains a significant player with large-scale institutional backing and considerable upside potential, even though it has performed less exceptionally in recent times. Both assets exhibit promising growth, but TRX's recent gains show it as a noteworthy contender in the market.
Given the correlation between TRX and Bitcoin, investors might find opportunities in cryptocurrencies like TRX that could potentially increase 3-4 times their current value, as suggested by analyst Carmelo Alemán. In the finance realm of investing, TRX, alongside SUI, ADA, HBAR, and LTC, seems to have the potential to outperform Bitcoin, especially in bull markets.
