After days of significant price drops, Trump took to social media over the weekend, attempting to boost the morale of his token's supporters by expressing his love for it.
Former U.S. President Donald Trump’s foray into the world of cryptocurrency has proved bumpy, especially for his meme coin, $TRUMP. After days of significant price drops, Trump took to social media over the weekend, attempting to boost the morale of his token’s supporters by expressing his love for it. Unfortunately for Trump, this move did not translate to market success.
On Saturday, amid a broader downturn across the cryptocurrency market, Trump’s initiative to ‘pump’ the price of $TRUMP was met with criticism from various quarters, particularly from Anthony Scaramucci, who briefly served as the White House Communications Director during Trump’s first term. Scaramucci noted, "The result has been an acceleration of the 'dump,' now down 70% from its peak," illustrating the struggle facing Trump’s meme token.
$TRUMP, launched on December 21, has seen its value drop drastically since then. It was trading around $17 at the end of the weekend. At this point, it feels like investors might be facing tough odds, as the token has dropped over 12% in just one day and has witnessed a staggering 62% decline over the last two weeks.
Many analysts and crypto users are now reflecting on Trump’s strategy as somewhat misguided, arguing it might hark back to claims of pumping and dumping prevalent among meme token creators, which can attract regulatory scrutiny. One user mockingly declared, "What was supposed to be a Bitcoin president turned out to be a shameless s***coiner,” indicating broader dissatisfaction within the cryptocurrency community.
The soaring interest Trump once enjoyed seems to have waned, too; data from the analytics platform LunarCrush showed interest levels for $TRUMP sliding significantly since January 20. At the time of the coin's inauguration, social media mentions peaked at about 54,000 per hour. Compare this to just 4,300 mentions per hour as of Saturday, and it’s clear the hype has faded fast.
This diminishing interest isn’t unique to Trump’s coin. Melania Trump’s official meme coin, $MELANIA, has also been hit hard, experiencing more than 11% drops within the last 24 hours and 80% over the past two weeks. Initially priced above $13 on inauguration day, it’s trading around $1.40 now, highlighting the volatility and risky nature of meme coins.
Investors are now left speculating whether either $TRUMP or $MELANIA will regain popularity or value once the cryptocurrency market stabilizes. Commentators continue to remind potential investors to tread carefully when it concerns meme coin investments, routinely classifying them as "a gamble".
Perhaps the most pertinent question now is whether the broader crypto market will buoy these tokens, or whether they will remain on the downward trend as skepticism persists among the crypto populace. Regardless of the outcome for these coins, it’s clear the dynamics of meme-based cryptocurrencies require both caution and insight as the trend evolves.
