Crypto Market Enters Its 'Memecoin Era' as US President-elect Donald Trump Launches TRUMP Memecoin on the Solana Blockchain

Ki Young Ju, founder and CEO of CryptoQuant, shared his thoughts on the weekend frenzy, announcing that “Trump opened the Era of Memecoins.”

US President-elect Donald Trump took the crypto industry by storm over the weekend with an unexpected launch. Trump announced on social media last Friday that he was launching the official TRUMP memecoin on the Solana blockchain, sparking a multi-billion three-day frenzy that drew strong community backlash.

Crypto Market Enters ‘Memecoin Era’

Ki Young Ju, founder and CEO of CryptoQuant, shared his thoughts on the weekend frenzy in an X post, announcing that “Trump opened the Era of Memecoins.” According to Ju, “Financial markets have always been about chasing memes,” and following trends “is nothing new” for financial investors.

Ju pointed out that the rise of the Internet and social media has accelerated the spread of ideas, allowing them to reach a wider audience. He also highlighted that crypto exchanges had already ushered in “an era of retail investing,” where people take a more hands-on approach rather than “parking their money in banks or index funds.”

As a result, investors who lack expertise follow trends, listen to influencers, and learn from what others are doing. “It’s unlikely retail investors will suddenly get smarter about investing, and without government regulations, the herding behavior around trendy keywords won’t stop,” he stated.

The CEO believes that “the Trump administration seems less interested in regulating this phenomenon and more inclined to take advantage of it,” suggesting that their approach is “if it’s inevitable, use them.”

Moreover, he added that celebrity tokens are just one of the forms memecoins can take, asserting that “the underlying reality of financial markets behaving like memes isn’t going away, so it’s worth considering how to make the most of it.”

Ju thinks that the upcoming president is “likely to use” his token holders as a “powerful community base for collective action,” adding that the token’s value will depend on what Trump does and is unlikely to go to zero unless the president pulls the rug on his “fervent fan base.”

If a celebrity coin issuer avoids rug-pulling and takes responsibility for their sales, it’s not as harmful as you might think. Even Bitcoin had its fair share of pyramid scheme promoters in the early days, selling to elderly investors. Now, with its massive price rise, those same scammers started being called “visionaries.”

He concluded that no matter how the community feels, the current wave is “unstoppable—at least until 2028,” suggesting that investors should prepare for the next wave.

Trump Token Frenzy Continues

Trump’s official token surged a few hours after its launch despite investors’ initial concerns about a hacking scam, reaching a market capitalization of $6 billion by Saturday morning.

The US President’s official memecoin soared to an all-time high (ATH) of $75 and a market capitalization of $15 billion throughout the following day. The token outperformed the crypto market, with only a handful of cryptocurrencies following suit. Amid the weekend rally, Bitcoin (BTC) turned the $102,000 resistance into support, while Solana (SOL) hit a new ATH of $270.

However, the community met the unexpected launch with strong criticism. On X, crypto investors voiced their concerns and dissatisfaction, with some members suggesting the token could damage the industry’s reputation.

Meanwhile, others labeled the upcoming President’s memecoin venture a “grift.” As Bitcoinist reported, Coffeezilla, a well-known internet investigator, expressed his skepticism on social media. He stated, “Dropping TRUMP memecoin 2 days before becoming president is nasty work,” adding that “new SEC/DOJ guarantees no prosecution.”

The criticism escalated on Sunday afternoon when Melania Trump, the incoming First Lady, announced the launch of her memecoin, MELANIA, on Solana. The market saw a 6% correction after the launch, with BTC briefly dropping below $100,000 and TRUMP nosediving 30% in an hour from its ATH price to $49.

However, as the Inauguration Day rally continues, the market has begun to recover. Earlier, the flagship crypto reached a new ATH of $109,000 before retracing just below the previous ATH range. Some analysts anticipate “wild volatility in both directions” today but remain optimistic about the upcoming months with the new crypto-friendly administration.