Trump-launched TRUMP coin surpasses $38
TRUMP token hits $38.43, driving speculation and debate
Just days before his second inauguration, President-elect Donald Trump created a stir in the cryptocurrency world by launching the "Trump Meme Coin" (TRUMP).
Key takeaways:
- TRUMP’s price has reached $38.43, with a fully diluted valuation (FDV) of $38.4 billion and a market cap exceeding $7.6 billion, solidifying its presence in the crypto space.
- Analysis indicates that Trump’s team holds $500 million in TRUMP liquidity pools, having withdrawn $20 million in USDC and transferring $92 million worth of tokens to exchanges.
- Experts have raised ethical concerns over TRUMP's speculative nature, questioning its sustainability and potential conflicts of interest linked to prominent figures like Trump.
Market and liquidity analysis
Research by Arkham revealed that Trump’s team retains around $500 million in TRUMP liquidity pools, refuting rumors of token sell-offs. From these pools, the team withdrew $20 million in USDC and transferred $92 million worth of TRUMP tokens to exchanges.
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The token distribution strategy is highly structured: 80% of TRUMP tokens are locked, 10% are reserved for liquidity, and another 10% are designated for public access. A significant portion—100 million tokens—was allocated to liquidity providers on the decentralized exchange Meteora, with additional liquidity supplied by wallets associated with Trump’s team.
Price and market capitalization
Announced on his social media platforms Truth Social and X, TRUMP quickly gained attention, surpassing $14 billion in 24-hour trading volume.
According to Coingecko, TRUMP is currently priced at $38.43. The token's fully diluted valuation (FDV) stands at $38.4 billion, with a market capitalization exceeding $7.6 billion, underlining its impact on the cryptocurrency landscape.
TRUMP price chart. Source: CoinGecko
Whale activity fuels market speculation
The token’s rapid growth has been further supported by whale activity. Onchain Lens reported that a prominent whale invested 1,250 SOL (approximately $273,000) to purchase 398,000 TRUMP tokens. This whale later sold 148,000 tokens for 6,542 SOL ($1.49 million) and still holds 250,000 TRUMP, valued at $6.4 million.
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Ethical concerns and speculative risks
Danielle Brian, executive director of the Project on Government Oversight, expressed concerns about TRUMP’s speculative nature. Brian noted that meme coins like TRUMP are often disconnected from real business ventures, making them highly speculative. Critics have also raised questions about potential conflicts of interest involving prominent figures like Trump.
Future uncertainty
While TRUMP’s soaring trading volume has generated investor enthusiasm, it has also sparked ethical debates. Whether this explosive growth signals a sustainable trend or a speculative bubble remains uncertain, leaving the crypto community in suspense.
In conclusion, it is worth noting that financial analyst Michaël van de Poppe predicts a turbulent week for $TRUMP and altcoins.
