Usman Salis
Trump-related memecoins, including MAGA (TRUMP), plummeted over 51% following rumors of an official Trump token launch on Solana.
Trump Memecoins Face Sharp Decline
In a significant market movement, Donald Trump-related memecoins experienced a sharp decline following rumors of an official Trump token launch on Solana. The MAGA (TRUMP) token saw a drastic fall of over 51%, triggering widespread concern among investors and traders.
According to a June 17 post by Pirate Wires, Donald Trump is reportedly launching a token named TrumpCoin with the ticker DJT, spearheaded by his 18-year-old son, Barron. Despite the lack of confirmation from Trump's team, the market reacted strongly to these rumors. Blockchain data firms like Bubblemaps have raised doubts about the token's legitimacy, pointing out that 67% of DJT's supply is concentrated in one cluster, with 43% held by Solana-based market maker Raydium.
Impact on TRUMP and Other Trump-Related Memecoins
Following the rumor mill, TRUMP experienced a significant drop, plummeting 27.75% to $7.60 within four hours, as per CoinMarketCap. This rapid decline resulted in a loss of over $150 million from TRUMP's market capitalization. Smaller Trump-associated memecoins also faced the brunt of the market's reaction.
The Solana-based Donald Trump (TREMP) memecoin dropped 44.57% from $1.05 to $0.65. Similarly, the Jeo Boden (BODEN) token, linked to Joe Biden’s BIDEN memecoin, fell over 32%.
Despite the ongoing uncertainties, the rumored DJT token surged to a $120 million market cap on June 18. Birdseye data reveals that the first DJT tokens were minted on April 22. This surprising rise in DJT's market cap has caught the attention of the crypto community, although the token's official connection to Trump remains unverified.
Crypto Industry Reaction and Political Implications
As the industry awaits an official statement from Trump, various leaders have expressed frustration at those potentially behind the DJT token launch. The incident underscores the increasing focus of presidential candidates like Trump, Biden, and Robert F. Kennedy Jr. on the cryptocurrency industry as the 2024 election approaches.
In conclusion, the recent fluctuations in Trump-related memecoins highlight the volatility and speculative nature of the crypto market. Investors remain on edge, seeking clarity on the legitimacy and future of the DJT token. This incident not only impacts current market dynamics but also reflects the growing intersection of cryptocurrency and politics.
Usman Salis
