Tron Holders Cash Out: $1.4B Profit-Taking Spree as 2020–21 Investors Exit Big

Tron's early backers are making their move—and it's a $1.4 billion exit. The blockchain's 2020–21 cohort just triggered one of the largest profit-taking waves in recent crypto history.

Who's left holding the bag? While OGs count their gains, retail traders face the classic crypto dilemma: FOMO in or miss the next leg up. Meanwhile, Wall Street 'experts' still can't decide if this is a healthy correction or the start of a bear cycle—proving once again that price predictions are just horoscopes for finance bros.

Long-Term Holders Cash Out

Glassnode’s latest insights point to an interesting development in the TRON ecosystem. Investors who originally accumulated TRX between 2020 and 2021—during a period of lower prices—have taken advantage of recent price surges to lock in profits.

The timing of these realized gains suggests that these holders, often referred to as “smart money,” might be responding to recent price strength and anticipating a potential slowdown or correction in the NEAR term.

According to the report, these realized profits represent sustained selling pressure and are not just one-off events. The sell-off has continued over several weeks, indicating that this is part of a broader strategy by experienced investors to exit positions while prices remain favorable.

TRX Price Reaction and Market Context

Tron’s price has seen significant volatility in recent weeks. Following a strong rally earlier in 2025, the asset reached multi-month highs. However, the recent wave of selling from long-term holders has led to increased downward pressure.

While TRX hasn’t suffered a sharp decline yet, the sell-off could weigh on momentum if buying demand doesn’t keep up. Some analysts warn that this behavior is often seen at local tops, where early investors choose to cash out before potential reversals.

Despite the profit-taking, Tron’s fundamentals remain strong. The network continues to dominate in stablecoin transfer volume and boasts a highly active DeFi ecosystem. However, investor sentiment remains mixed as market participants weigh the long-term potential of TRX against short-term selling trends.

SOPR Data Confirms Trend

The Spent Output Profit Ratio (SOPR), an on-chain metric used to measure the profitability of coins moved on the blockchain, supports this trend. Tron’s SOPR has remained above 1.0 in recent weeks, indicating that the majority of TRX being transacted is being sold at a profit.

While a SOPR above 1 is generally a bullish signal, extended periods of high profit-taking can lead to exhaustion in buying pressure. If buyers begin to hesitate, this can shift momentum in favor of sellers, potentially triggering a retracement.

This kind of behavior is common in mature bull cycles, where earlier entrants start to realize gains while newer investors fuel further price increases. However, when older coins are moved in high volume, it typically signals a change in market structure.

What This Means for Tron’s Outlook

The $1.4 billion realized profit suggests that a large portion of long-held supply has now been offloaded. This could have two different implications depending on future market activity.

On one hand, the exit of these long-term holders may create room for new entrants, allowing fresh capital to enter the ecosystem and push prices higher. On the other hand, if broader market conditions turn bearish, the exit of seasoned investors could lead to a cooling period for TRX.

In either case, this development underscores the importance of tracking on-chain data to understand investor sentiment. The crypto market, especially for altcoins like Tron, often moves on the behavior of whales and early adopters.

For traders, the current market presents both opportunity and risk. Short-term volatility could provide chances to buy dips or trade breakouts, but caution is warranted given the large volume of profit-taking underway.

Final Thoughts

The massive $1.4 billion in realized profits by long-term TRX holders is a reminder of how on-chain activity can provide early signals of changing sentiment. While this doesn’t necessarily spell doom for Tron’s price, it does indicate that smart money is being cautious.

For investors and traders, it may be wise to keep a close eye on TRX’s SOPR and other indicators in the coming weeks. Whether this marks a temporary sell-off or a larger trend will likely depend on how the broader crypto market evolves during the rest of Q3 2025.