Whales dumped their Trump meme coins this week to protect their earnings, which led to a significant price decline. The coin’s price reached $38.50 on Tuesday after dropping 50% from its Sunday high. The dramatic price fall reduced its market worth to $7.6 billion and raised doubts about its financial security.
As blockchain tracking firm Nansen reports, major TRUMP investors known as whales have been reducing their investment size to cash out their gains. The wealthiest wallet in this group made $57 million through trading and now holds minimal TRUMP coins. The investor’s wallet has $13 million in unspent TRUMP profit while waiting for the asset to bounce back.
Another leading whale investor earned $53 million through TRUMP but sold off all their TRUMP holdings. This seller gained $34 million on investments and liquidated 84% of their token holdings. Big investors are selling their TRUMP tokens, while retail investors remain at risk of additional financial losses.
Trump Meme Coin Ownership Declines Amid Market Downturn
Market statistics shared by CoinCarp indicate a declining market outlook. Official Trump meme coin ownership numbers show a steady decline from 847,335 users on Monday to 832,200 users by Tuesday. Many analysts think the coin’s current slump will persist because it has trouble growing its market value.
The performance of the Official Trump meme coin mirrors a common pattern observed in the meme coin market: People rush into buying but panic to sell aftermarket hype spikes from FOMO trading.
We observe this behavior repeatedly in today’s surge of cryptocurrency adoption. For instance: The maximum price of Popcat hit $2.10 in 2024 yet declined by 78% afterward. The price of Kekius Maximus reached its maximum level at $0.3978 this year because of Elon Musk’s X profile change. It has since declined by 92%.
Long-standing meme coins Shiba Inu and Dogecoin trade at a significant discount to their former best prices, with both coins showing declines of 75% and 51%.Official Trump and Melania Trump tokens showing continuous market losses pose a risk of attracting regulatory attention and legal actions from investors.
People who promoted crypto tokens previously were taken to court after those projects fell apart. Legal proceedings started against Hawk Tuah Girl after her $HAWK meme coin failed financially.
The Trump tokens could face legal action from retail investors who sue for market manipulation if their prices keep falling. The unpredictable crypto market shows why people should think twice before buying speculative meme coins.
This news is republished from another source. You can check the original article here
