Sun Token (SUN), the cryptocurrency from the TRON network, has seen an impressive rise of over 470% in just a week. The coin, which was trading at $0.009, has jumped to $0.03735, attracting considerable attention in the crypto community.
This dramatic price increase is largely due to a recent tweet from TRON founder Justin Sun announcing the launch of SunPump, triggering the price increase.
SUN Coin records 470% increase
Launched over four years ago, the SUN token was originally intended to be a store of value like Bitcoin. However, after a hyperinflation crash in 2021, the token shifted its focus to decentralized finance (DeFi) on the Justwap and Justlend platforms.
With its renewed utility, SUN is now targeting a market capitalization of $1 billion, which currently stands at $377 million.
Renowned crypto analyst Captain Faibik highlights SUN’s exceptional growth over the past week. The price, which started at $0.009, has risen to $0.03735. This remarkable 470% increase signals a strong uptrend that investors are closely monitoring.
What is the reason for this increase?
SUN’s recent price surge is largely due to a tweet from TRON founder Justin Sun. He announced the launch of SunPump, a new platform on the Tron blockchain focused on generating and trading memecoins.
Justin Sun’s strategy to increase network revenue – which is expected to exceed $4 billion next year – includes leveraging meme coins and adjusting network fees. SunPump has quickly overtaken its Solana-based rival Pump.fun in terms of the number of tokens issued and daily revenue, contributing to $SUN’s recent price surge.
What’s next for Sun Token?
SUN recently broke out of a long period of price stability and is now showing an uptrend supported by rising EMA lines. However, the appearance of large bullish candles suggests that a pause or correction could be imminent.
Although SUN has seen a significant price increase, analysts believe that a price drop could be imminent. The token’s recent breakout from its consolidation phase is notable, but early signs of buyer exhaustion are emerging.
Perhaps recent data from Coinglass shows that while traders are still opening long positions, volume has only increased by 31% over the past 24 hours, suggesting that buyers may be getting tired.
