- TRUMP (TRUMP) coin faces a potential 90% crash as bearish technicals and a major token unlock threaten to drive prices below key support levels
- With over 800,000 wallets already at a loss and 80% of the supply controlled by the Trump organization, investors are urged to proceed with caution.
The TRUMP coin has once again made headlines but this time, things are looking Grim for the memecoin associated with former U.S. President Donald Trump. Launched in January, a day before the President’s inauguration, the memecoin quickly became a market sensation surging to highs above $70 before crashing dramatically. Now, just days ahead of a significant token unlock on April 18, concerns are mounting that TRUMP could be poised for yet another sharp decline.
At the time of press, the digital asset is trading with $8.04. This market price reflects a 0.84% and 5.03% surge in the past 24 hours and week respectively. However, this uptick is doing nothing to alter it’s long-term bearish trajectory.
Technical indicators bolden this state as for starters, the price continues to struggle below the 21-day moving average, a key resistance level it hasn’t been able to reclaim for months.
Adding fuel to the fire is the impending unlock of 4% of the token’s total supply. While that may not sound like much, only 20% of the total supply is currently in circulation, meaning the unlock represents a 20% increase in available tokens. This sudden influx of new supply could flood the market and send the price tumbling below the already fragile $7 support level.
On April 18, 40 million tokens will unlock for $TRUMP (currently worth $330M)
Let’s see if they’ll sell or hold pic.twitter.com/xxfnutGJaG
— LANGERIUS (@langeriuseth) April 14, 2025
Adding to the bearish pressure is the broader crypto market downturn. Weak sentiment across altcoins and ongoing macroeconomic uncertainty are limiting any real upside potential for speculative assets like TRUMP.
The TRUMP token despite its name is not a scam. The project was launched as a meme-based collectible with no promises of financial return. Notably, Cathie Wood, CEO of ARK Invest, brutally echoed this as she dismissed that Trump Coin as a “memecoin without utility,” emphasizing her focus on established cryptocurrencies like Bitcoin, Ethereum, and Solana.
The Trump organization has publicly backed the coin and reportedly earned over $100 million in trading fees. However, the tokenomics behind TRUMP have drawn heavy criticism. The Trump team allocated itself 80% of the total supply, which is set to vest gradually over the course of Trump’s presidential campaign. Critics argue this move resembles a textbook “pump-and-dump” scheme.
A report by Chainalysis, in collaboration with the New York Times, highlighted that more than 800,000 wallets had incurred losses just three weeks after the token’s launch. Early buyers may have made millions, but the vast majority of investors are sitting on steep losses.
So, is now a good time to buy TRUMP? While some might see the current 90% drawdown as a buying opportunity, investors should remain cautious. Meme coins have a history of dropping 99% from peak levels, and TRUMP’s fundamentals—ranging from token unlocks to centralized ownership—are less than reassuring.