Bitcoin (BTC) Nurses Losses Amid Frenzied Trading in Memecoins TRUMP and MELANIA

The leading cryptocurrency by market value briefly dipped below $100000, representing a 4.5% drop on a 24-hour basis.

Bitcoin (BTC) price slid below the key $100,000 mark on Monday morning in Asia, as memecoins linked to President-elect Donald Trump and his wife, Melania, continued to dominate trading volumes.

The world's largest cryptocurrency by market capital fell 4.5% over the past 24 hours to $99,982 by 01:18 AM ET (06:18 GMT), according to data from CoinDesk.

Bitcoin price had earlier dropped to as low as $98,800.

ETH, XRP, SOL and BNB posted bigger losses, with ADA and DOGE losing over 10%, the data showed.

TRUMP, the memecoin linked to Trump, which debuted Saturday, fell 30% to $49.

As Trump's wife, Melania, launched her own memecoin, several large transactions were observed moving the TRUMP coin.

"The Official Melania Meme is live! You can buy $MELANIA now,” Melania Trump posted on the social platform X on Sunday.

The meme coin's website describes the token as a fungible cryptocurrency created and tracked on the Solana blockchain.

The MELANIA token rallied a staggering 24,000% to a record price of $13, as reported by CoinMarketCap.

The token appeared to be sucking out liquidity from the TRUMP coin, which was the most-traded digital asset on Binance over the weekend.

Some observers saw the frenzied trading in TRUMP and MELANIA coins as the FOMO phase of the bull market and could lead to a notable BTC price correction.

Meanwhile, others like Arca's CIO Jeff Dorman believed the debut of TRUMP is a green light to all possibilities.

"To start, the pushback for 3+ years from both potential token issuers and potential investors in the U.S. has been “regulatory concerns”. This is now completely eradicated when the President himself is both and issuer and an investor," Dorman said on X.

"TRUMP token just signaled to every company, municipality, university & individual brand that crypto can now be used as a capital formation and customer bootstrapping mechanism."