The price of Tron (TRX) kicked off the week in a negative territory.
The TRX/USD on Monday established an intraday low of $0.0335, down more than 4 percent since the market open. The move downhill brought the cryptocurrency’s market capitalization to as low as 2.241 billion. At its 24-hour highest, the cap was $2.368 billion, according to data provided by CoinStats’ crypto portfolio management app.
The Tron price performed worst against bitcoin, the world’s leading cryptocurrency by market capitalization. In the last 24 hours, the TRX/BTC exchange rate dropped by up to 9.71 percent to settle a fresh low towards 278 sats. At its 24-hour highest, the pair was trading at 311 sats.
Bad TRX News
The TRX price started falling soon after founder Justin Sun faced accusations of turning a blind eye on a billion dollar Ponzi scam in China.
The news broke out on social media when victims of “Wave Field Super Community” investment scheme trespassed the Tron office in Beijing. The staff had to call the local police for protection against an upset mob of investors after realizing that the scammers had misused the Tron’s Chinese name “Wave Field” to dupe investors off about $140 million.
The Tron Foundation later in the evening issued a clarification on its website, stating that it had warned investors of companies that were using Tron’s brand illegally to raise funds. The message read:
“In regards to reports of TRON’s inaction specifically regarding the Wave Field Super Community scam, in January after learning of the Wave Field Super Community and that it had been attracting investors in the name of TRON, TRON warned investors on its WeChat messaging group, Wei Bo official channels — Wei Bo and Dou Yin, etc. — to beware of potentially fraudulent schemes. The company posts similar warnings in its English-language territories and has a Community team that operates across the globe to answer investor questions and listen to problems.”
The TRX/BTC continued falling despite the foundation’s clarification. It could be due to a bitcoin upside breakout witnessed earlier today.
Tron is now eyeing 271 sats as a potential pullback level.