Donald Trump Creates His Own Memecoin Named Official Trump (TRUMP) Ahead of Inauguration

You’d expect that Donald Trump is fairly busy these days, with his upcoming inauguration and all, but apparently, he found the time to create his own memecoin.

Donald Trump has apparently joined the crypto bandwagon by launching his own memecoin ahead of his upcoming inauguration. The coin, aptly named Official Trump (TRUMP), has seen some wild price movements since its debut a few days ago.

Initially, it soared several hundred percent, reaching as high as US$75.35 (AU$121.61) only to drop to US$45.50 (AU$73.44) at the last check, as the soon-to-be First Lady, Melania Trump, launches her own memecoin, stealing the show from TRUMP.

The TRUMP coin was unveiled at the Crypto Ball in Washington on Friday US time, where Crypto Czar David Sacks announced that the “reign of terror against crypto is over”.

But Australian analyst and YouTuber Miles Deutscher says this is not just another memecoin launch, and in a video posted on platform X, he said this “is bigger than the ’17 ICO bubble”.

Deutscher Highlights Pros and Cons of TRUMP Memecoin

In another post, Deutscher summed up, in his opinion, the pros and cons of the Trump memecoin move.

On the pro side, Deutscher said the Trump token could have some benefits, mainly by positioning Solana as “America's chain” and highlighting Trump's pro-crypto stance, which could lead to more favourable crypto policies and increased mainstream adoption.

This is evident from Moonshot's rise to the top of the app store rankings, and the mainstream attention could lead to more institutional inflows and an environment that welcomes crypto innovation in the US market.

However, the downsides are also significant, with the token's success potentially draining liquidity from other altcoins and踽踽 threatening to damage crypto's reputation in Congress and complicate future legislative efforts.

Deutscher thinks the trend could also lead to a wave of celebrity-backed meme tokens that could dilute the market, and the increased volatility suggests that we might be approaching a market top sooner than expected.

Perhaps most notably, the development seems particularly bearish for Ethereum, as it strengthens Solana and could accelerate ETH holders' capitulation, the analyst concludes.

TRUMP Is a Fan Coin, Not Memecoin - 10X Research

Interestingly, TRUMP's 24-hour trading volume, at US$6.3 billion (AU$10.1 billion), hit highs that surpassed even Solana (U$5.4 billion or AU$8.7 billion) and Bitcoin with its US$5.1 billion (AU$8.22 billion), according to data from analytics firm 10X Research.

They also said it might be more accurate to classify TRUMP as a fan token, not a memecoin.