TRON (TRX) is drowning in red as the sellers take control.

TRON (TRX) continues to fall deeply into the bearish zone after breaking down key support levels at $0.3440 and $0.333 in just two weeks.

This sell-off is occurring against a backdrop of weak on-chain indicators contrasting with long betting orders and a funding boost of up to $110 million, causing investors to be divided about the upcoming outlook.

At the time of the report, TRX was trading at $0.3149, down 5.07% in the past 24 hours. Notably, the daily trading volume increased by 1.37% to $885.36 million, indicating active participation despite selling pressure.

TRX Price Chart | Source: Bitcoin Magazine## What causes the price of TRX to fall?

The underlying reason for this continuous bearish trend may stem from the current market uncertainty, along with the decline in Total Value Locked (TVL), chain revenue, and TRON's trading volume.

Data from DeFiLlama shows that the TVL of TRON has fallen from $6.28 billion at the beginning of August to $6.009 billion at the time of press.

Source: DeFiLlamaAt the same time, chain revenue decreased from $6.68 million to $5.33 million, while trading volume halved from $9.65 billion to $4.51 billion.

If these indicators do not recover, the bearish pressure on TRX may increase.

The technical outlook of TRX turns bearish

Technical analysis from Bitcoin Magazine indicates that TRX has fallen below the support level of $0.333, opening up the possibility for further decline. On the daily chart, the recent breakdown candle has reinforced this bearish outlook by forming a hammer pattern.

Based on price action, it can be inferred that if TRX continues to stay below the level of $0.333, it may witness another bearish move towards the support level of $0.3.

If this downtrend continues, the price could even reach the support level of $0.297.

In addition, at the time of the press release, the average directional index (ADI) recorded a level of 29.42, confirming a strong trend. This trend indicates the potential for continued selling pressure if the fundamental factors continue to weaken.

Derivative tools and a $110 million investment in the TRX fund

Despite the bearish price action and weak fundamentals, traders appear to be heavily betting on long positions. Data from CoinGlass shows that the Long/Short ratio of TRX has reached 1.2406 at the time of press, the highest level since early August 2025.

This indicates a strong optimistic sentiment in the trading community, with 55.37% holding long positions while 44.63% still maintain short positions.

Source: CoinGlassAnother driving factor benefiting TRX investors is the expansion of the TRX fund through a $110 million investment from the largest shareholder, Bravemorning Limited. This shareholder has exercised all unexercised options, adding 312.5 million TRX to the company's fund.

This move has pushed the total holdings value of Tron Inc. above 220 million dollars, demonstrating long-term confidence despite the price action showing signs of weakening.

Mr. Giáo