Not really. Token exchange territory is not a dampener to frequency of train movement, prior to the Colour light signalling system being widespread in IR, many sections used this with train frequency almost 10 times of what Raichur-Gadwal section currently has. Examples in SCR for instance are the erstwhile SC-NED, SC-DHNE, GTL-DMM-TPTY etc which had quite a lot of trains running(Incl Exp, Venkatadri for instance). Less trains in this stretch is definitely not because of the signalling system.