Justin Sun, founder of a cryptocurrency project TRON (TRX) focused on providing a smart contract tool, has invested a tremendous amount of money into Ethereum-based decentralized finance (DeFi) projects. Investment information was shared on Twitter by research analyst Igor Igamberdiev on The Block.
Justin Sun ignores Tron-based DeFi protocols
According to Igamberdiev, Sun moved to a new address after uncovering the previous one for Big Data Protocol (BDP) farming. Data shared on Twitter reveals that the founder has invested more than $ 1.6 billion in Ethereum-based DeFi projects.
Apparently, one of Sun’s addresses once made a transaction that accounted for 25% of the BDP volume. Data from The Block research revealed that Sun has approximately 661,000 WETH, 229 million USDT, approximately 162 USDC and 150 WBTC.
The remaining funds were distributed to other DeFi projects such as Chainlink (4.9 million), SushiSwap (7 million), Uniswap (3.4 million), Aave (144,000), among others.
“In a new farming with a questionable use case, this amount of money raises some concerns,” says Igamberdiev. Moreover, why Sun does not support projects on the TRON blockchain raises many questions. It is also possible that such large volumes of storage will be for pump & dump; as a result, this hurts the small holders of the tokens.
Latest situation in Tron (TRX)
TRON is trading at $ 0.05 amid the gradual recovery of the price drop in February. Support at the 200 Simple Moving Average (SMA) played an important role in the recovery. However, TRX was unable to break the resistance at $ 0.055, delaying the uptrend.
The path of lowest resistance is upward at the time of writing and is supported by the Moving Average Convergence Divergence (MACD). Also, keeping it above $ 0.05 will allow the bulls to focus on crossing the barrier at $ 0.055.
The longer the bulls take to break the resistance at $ 0.055, the stronger the selling pressure. In other words, the overall pressure will rise towards the $ 0.05 emergency support. On the downside, other support levels to keep in mind are the 50 SMA and 200 SMA.