Melania Trump’s newly launched meme coin, Melania Meme (MELANIA), has brought about a pointy decline in demand for Donald Trump’s Official Trump (TRUMP) coin. Consequently, TRUMP’s market cap has dropped by 55% in simply 10 minutes, coming into a bear market part.
On January 20, Melania Trump, the previous First Woman of the U.S., introduced the launch of her meme coin, MELANIA, on X.
Following her publish, Donald Trump shared her announcement throughout his Victory Rally. This surprising transfer led to a pointy drop in demand for TRUMP, a meme coin Donald Trump had launched simply 48 hours earlier.
The TRUMP token, which had surpassed a $14 billion market cap, skilled a pointy 55% decline inside simply 10 minutes of Melania’s announcement. Nonetheless, as of this writing, TRUMP’s market cap has stabilized at $9.42 billion, with the token buying and selling at $47.19.
Earlier than the launch of MELANIA, TRUMP was performing effectively, with purchaser orders outpacing vendor orders out there. The token was additionally listed on HashKey International on January 19. In response to Kobeissi Letter, giant promote orders, starting from $1 million to $5 million, gathered within the spot market.
Nonetheless, after MELANIA’s launch, the promoting stress on TRUMP outweighed the shopping for stress, with $351.7 million in promote orders in comparison with $244.5 million in buys inside the first hour post-launch. This imbalance contributed to the decline in TRUMP’s value.
Kobeissi Letter additionally famous that the promoting stress on TRUMP spilled over to Solana (SOL), inflicting its worth to drop by almost 20% in minutes.
Regardless of the volatility, TRUMP nonetheless boasts round 824,000 holders, and the token is at present valued at roughly $39 billion. Moreover, with a vesting schedule spanning three years, there’s potential for the token to stabilize sooner or later.