The Official TRUMP memecoin has taken a massive hit this week, after dropping by more than 10% in just 24 hours.
The good news for Trump holders is that the cryptocurrency has been able to hold its ground above the $10.3 price level.
On the other hand, a TRUMP dip below $10.29, would almost definitely trigger panic selling.
A televised interview with NBC’s Kristen Welker featured Trump, who gave confusing answers about whether he profited from the TRUMP cryptocurrency.
Investors should be careful over the coming weeks, as the 22 May dinner looms.
The Official TRUMP memecoin has taken a massive hit this week, after dropping by more than 10% in just 24 hours.
This crash came right after its failure to push past the $16 resistance mark.
The cryptocurrency is now trading at $11.08 and is under pressure from some serious short selling activity.
Yet despite the setback, signals show that investors haven’t entirely lost faith.
Short Sellers Fuel Price Drop
TRUMP’s fall came after days of bearish pressure.
The weekend saw the coin’s price dip sharply, mostly due to its negative funding rate according to Coinglass.
This shows that despite the initial rally from the Trump dinner announcement, the bears were actively selling the cryptocurrency.
From the looks of things, the short sellers were likely waiting for prices to fall and profited from the weekend dip.
The good news for Trump holders is that the cryptocurrency has been able to hold its ground above the $10.3 price level.
This price level is the last line of bullish defence as well as a psychological support.
As such, if this level holds and the general market’s conditions improve, TRUMP could be open to reclaiming the $12.18 level as support.
Such a move would boost investor sentiment and lead to a higher high.
On the other hand, a TRUMP dip below $10.29 would almost definitely trigger panic selling.
The cryptocurrency will likely dip towards $9.11 and damage the ongoing bullish sentiment.
Trump’s Comments Spark Confusion
The memecoin's recent price action is not the only source of drama.
This week saw a televised interview on 4 May with NBC’s Kristen Welker, featuring President Donald Trump.
In the interview, Trump gave confusing answers about whether he has profited from the TRUMP cryptocurrency.
The president initially denied making any profit, before contradicting himself by stating that he hadn’t checked whether he’d made money.
“If I own stock in something and I do a good job, and the stock market goes up, I guess I’m profiting,” he said.
Keep in mind that the OFFICIAL TRUMP token launched on 17 January, just days before Trump was inaugurated.
The cryptocurrency surged to an all-time high of $73.43 by 19 January but has since plunged by nearly 85% from its all time high.
So far, two Trump-affiliated companies (CIC Digital LLC and Fight Fight Fight LLC) own a massive 80% of the token’s 1 billion supply.
This tokenomics setup has raised issues about centralization and supply shocks with each unlock.
According to The Financial Times, Trump’s memecoin project has already brought in an estimated $350 million.
This includes $314 million from token sales and $36 million in fees.
In all, investors should consider the facts before making any investment decisions.
A break below the $10.3 price level would lead to further price correction.
On the other hand, investors should be on the lookout for the cryptocurrency’s price action over the next few weeks, especially as the 22 May dinner looms.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.
The content is for reference only, not a solicitation or offer. No investment, tax, or legal advice provided. See Disclaimer for more risks disclosure.
$TRUMP Memecoin Crashes 10%: Panic Sell or Prime Buy Ahead of 22 May Dinner?
Key Insights
The Official TRUMP memecoin has taken a massive hit this week, after dropping by more than 10% in just 24 hours.
This crash came right after its failure to push past the $16 resistance mark.
The cryptocurrency is now trading at $11.08 and is under pressure from some serious short selling activity.
Yet despite the setback, signals show that investors haven’t entirely lost faith.
Short Sellers Fuel Price Drop
TRUMP’s fall came after days of bearish pressure.
The weekend saw the coin’s price dip sharply, mostly due to its negative funding rate according to Coinglass.
This shows that despite the initial rally from the Trump dinner announcement, the bears were actively selling the cryptocurrency.
From the looks of things, the short sellers were likely waiting for prices to fall and profited from the weekend dip.
The good news for Trump holders is that the cryptocurrency has been able to hold its ground above the $10.3 price level.
This price level is the last line of bullish defence as well as a psychological support.
As such, if this level holds and the general market’s conditions improve, TRUMP could be open to reclaiming the $12.18 level as support.
Such a move would boost investor sentiment and lead to a higher high.
On the other hand, a TRUMP dip below $10.29 would almost definitely trigger panic selling.
The cryptocurrency will likely dip towards $9.11 and damage the ongoing bullish sentiment.
Trump’s Comments Spark Confusion
The memecoin's recent price action is not the only source of drama.
This week saw a televised interview on 4 May with NBC’s Kristen Welker, featuring President Donald Trump.
In the interview, Trump gave confusing answers about whether he has profited from the TRUMP cryptocurrency.
The president initially denied making any profit, before contradicting himself by stating that he hadn’t checked whether he’d made money.
“If I own stock in something and I do a good job, and the stock market goes up, I guess I’m profiting,” he said.
Keep in mind that the OFFICIAL TRUMP token launched on 17 January, just days before Trump was inaugurated.
The cryptocurrency surged to an all-time high of $73.43 by 19 January but has since plunged by nearly 85% from its all time high.
So far, two Trump-affiliated companies (CIC Digital LLC and Fight Fight Fight LLC) own a massive 80% of the token’s 1 billion supply.
This tokenomics setup has raised issues about centralization and supply shocks with each unlock.
According to The Financial Times, Trump’s memecoin project has already brought in an estimated $350 million.
This includes $314 million from token sales and $36 million in fees.
In all, investors should consider the facts before making any investment decisions.
A break below the $10.3 price level would lead to further price correction.
On the other hand, investors should be on the lookout for the cryptocurrency’s price action over the next few weeks, especially as the 22 May dinner looms.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.