Trump Coin (TRUMP) is a unique cryptocurrency that merges Trump’s extraordinary personality with the art of memes, which are precious tools to better understand the complexity and nuances of everyday life. It was issued on January 17. The meme coin reached a market value of $15 billion within hours of launch, soon followed by a steep decline, settling at a market cap of approximately $1.69 billion at present. Holders of TRUMP are small individual investors, and many of them lost money on their purchases.
Less than a day after Trump revealed the “reciprocal” tariff program for more than 180 countries and territories, the price of Trump Coin dropped to $9 per token. At the time of writing, TRUMP is worth $8.452231, with a 24-hour trading volume of $438.67 million. There’s been a sharp decline in the meme coin’s valuation due to negative media coverage and reactions from cryptocurrency investors over the potential impact of tariffs on digital assets. Though Trump Coin is still up from its debut, the bearish pressure is starting to build.
Trump Coin Remains One Of The Most Controversial Cryptocurrencies
Before Inauguration Day, the president-elect launched his own meme coin, demonstrating the lengths to which he’ll go to embrace the crypto industry. The First Lady followed with MELANIA, which achieved a $2 billion market cap in 12 hours. The organization that issued Trump Coin was careful not to make promises about the returns to be expected and has even included cautionary statements notifying purchasers of the potential extreme volatility.
Ownership of TRUMP is primarily concentrated in two entities owned by Trump: CIC Digital LLC and Fight Fight Fight LLC. Since these organizations retain the vast percentage of the total coins issued, they profit from any increase in the cryptocurrency’s price. Following the token mania, World Liberty Financial, the decentralized finance (DeFi) venture backed by Trump, acquired millions in crypto assets, including Ethereum, Wrapped Bitcoin, AAVE, Ethena, Chainlink, and Tron. The Trump family controls roughly 60% of World Liberty Financial.
Trump Coin has generated considerable controversy for many reasons, including ethical, financial, and political concerns. Critics affirm that Trump’s involvement in a crypto project is a conflict of interest that can interfere with his mission to maintain fair and orderly markets and protect investors. Some reports suggest that World Liberty Financial received preferential treatment at the Securities and Exchange Commission. Trump’s financial ties could have influenced SEC decision-making.
The Tariff Announcement Came Before The Next Token Unlock Event
Trump Coin is scheduled for its first major token unlock on April 18, 2025. Trump is set to unlock 40 million tokens valued at approximately $413.2 million, accounting for 20% of the circulating supply. This event could have implications for the overall market dynamics and investor sentiment since a significant amount of liquidity will be readily available. Liquidity represents the ease with which an asset can be bought and sold without greatly affecting its price. High liquidity means a large number of participants are actively trading, leading to smoother transactions.
The actual impact of the token unlocking depends on several factors, including market conditions, investors’ reactions, and the overall sentiment towards meme coins. The release of such a large number of TRUMP tokens could cause the market value to drop because investors tend to sell their holdings in anticipation of price adjustments. Conversely, positive market sentiment and increased demand could counterbalance this effect. Several tokens with notable unlock amounts are expected to hit the market. For example, Scroll will unlock 40 million on April 22, 2025.
It’s unlikely anyone would want to buy TRUMP right now. The community is bearish about Trump Coin, which means they have a negative or pessimistic outlook on the direction of the meme coin.
No Doubt, There Are Bigger Concerns Than Trump’s Meme-Inspired Crypto
The Trump administration made clear its intention to move forward with implementing tariffs to boost the U.S. economy and protect jobs. The tariffs are custom-tailored based on a formula that has been criticized by economists, which expresses the trade in goods deficit as a fraction of double the total value of imports. Trump is convinced his policy will revive the lost manufacturing base by forcing companies to relocate to America. Recently, he signed an executive order to expand the coal industry at a time when the energy sector is moving towards natural gas and renewables.
According to JP Morgan, there’s a 60% chance of a global recession in 2025 if Trump doesn’t make concessions. Trump’s tariffs represent the “largest tax hike” since the Revenue Act of 1968, and it has direct ramifications on household and business spending. Americans will pay more a year. Though many countries offered to negotiate, Trump refuses to commit to removing tariffs. According to NBC News, China now faces a cumulative tariff rate of 104% and has announced retaliatory measures in response to Trump’s trade war.
After Overtaking Shiba Inu And PEPE, Trump Coin Has Become Volatile
The crypto landscape was in shock when Trump decided it was time for his own official meme coin. Having released several Trump Digital Trading Cards, the president-elect is no stranger to a project launch; he actively promoted TRUMP through social media and public appearances. The only major cryptocurrency to benefit directly from the launch of Trump Coin was Solana, which reached an all-time high of $295 by the end of the first day. Trump’s meme coin outshined Shiba Inu and PEPE by market cap.
For some time now, TRUMP has been extremely volatile, meaning that its price has increased or decreased over shorter periods of time. If you’re looking to use Trump Coin to preserve capital or grow your portfolio, there’s no guarantee you’ll see any returns, so use strategies like dollar-cost averaging and stop-losses to manage risk. TRUMP is volatile for many of the same reasons other investments are, but the main difference is the magnitude in which its price changes. Don’t make a poor life-changing decision during times like these.
Concluding Remarks
The future of Trump Coin depends on Trump’s actions, which may boost or harm investors’ confidence in the project.