In a circuit coupled to a port of a network having a loop architecture, a read/write pointer controller provides a read and a write pointer to track transmission words stored in a FIFO array. The read/write pointer controller also provides a FIFO level indicator to track the total number of transmission words in the FIFO array. A dynamic threshold controller tracks transmission word insertions and deletions in the FIFO array for a predetermined period of time and provides a threshold level adjustment signal based on the tracked transmission word insertions and deletions and a transmission word threshold level. A FIFO level adjuster provides transmission word insert and delete commands and adjusts the threshold level of the FIFO array in response to the threshold level adjustment signal.