Crypto Markets Roiled as Melania Trump’s New Token Triggers $7.5B Trump Coin Cras
In an unprecedented development that has left crypto investors reeling, a digital currency war has erupted within the Trump family, causing billions in market value to evaporate within minutes.
Melania’s surprise entry disrupts crypto markets
The cryptocurrency market witnessed a dramatic shake-up late Sunday when Melania Trump, the incoming First Lady, unexpectedly launched her own meme coin, sending shockwaves through the digital currency space. “The official Melania Meme is live! You can buy $MELANIA now,” she announced across her social media platforms, just hours before Trump’s DC victory rally.
The impact was immediate and substantial. The $MELANIA token skyrocketed to a $5 billion market capitalization, with its price surging above $5 per token, according to Forbes reports.
Trump token takes historic plunge
The launch of Melania’s token had a devastating effect on her husband’s cryptocurrency. The $TRUMP token, which had earlier achieved a remarkable $14 billion market capitalization and secured a position among the top 20 cryptocurrencies, experienced a catastrophic decline.
“We have never seen anything remotely near what is happening right now. Not even GameStop, $GME, in January 2021 compares to this level of volatility. Exercise caution and never invest more than you can afford to lose,” reported The Kobeissi Letter analysts on X.
Market impact and trading dynamics
Within minutes of $MELANIA’s debut:
- Trump’s token plummeted 40% in value
- $7.5 billion in market cap vanished in just 10 minutes
- Traders rapidly shifted positions from $TRUMP to $MELANIA
- Market volatility reached unprecedented levels
New era for crypto regulation?
Against this backdrop of family-driven market turbulence, David Sacks, recently appointed as Trump’s crypto advisor, has declared that the “reign of terror” against cryptocurrency is over, suggesting a potentially more favorable regulatory environment for digital currencies under the incoming administration.
Analysis and market outlook
Melania Trump’s memecoin was promoted to her 3.2 million followers on X and later retweeted by the president-elect. Coin Telegraph reports the coin aims to show “engagement” and “support” for the incoming first lady and is “not intended” as a financial venture.
Launched a day before Trump’s January 20 inauguration, the memecoin’s page outlines token distribution: 35% allocated to team vesting, 20% to the community and treasury, 15% to the public, and 10% to liquidity. However, blockchain analytics firm Bubblemaps revealed that a single wallet holds about 90% of the token supply.
The dramatic events have left market analysts questioning the stability of personality-driven cryptocurrencies and their potential impact on the broader digital asset market. The unprecedented situation of competing tokens within America’s First Family has created a unique dynamic in the cryptocurrency space, raising questions about potential conflicts of interest and market manipulation risks.
As Trump prepares to take office, the crypto community watches closely to see how this family rivalry in the digital currency space might influence future cryptocurrency policies and regulations.
