TRUMP, the official meme coin associated with President-elect Donald Trump, experienced a significant decline in value, losing over 40% shortly after Melania Trump introduced her own meme coin, MELANIA.
On Sunday, TRUMP was trading at approximately $72 but dropped below $39 by the evening, according to CoinGecko data.
This sell-off resulted in a $6 billion reduction in market value, which had peaked at around $14.5 billion earlier in the day.
The recent price drop caused TRUMP to fall out of the top two meme coins by market capitalization, with Shiba Inu (SHIB) reclaiming the second position.
Earlier in the day, TRUMP had surpassed both SHIB and PEPE, entering the top tier of meme coin rankings.
Currently, TRUMP is valued at around $46, reflecting a 68% increase over the past 24 hours.
Since its launch on Friday evening, the “official” Trump memecoin has surged, breaking into the crypto top 20 by market capitalization and reaching a peak of $14 billion.
The official Melania meme is live
However, as leaks suggest that Trump is preparing a series of crypto-focused executive orders, Melania Trump launched her own rival cryptocurrency, causing a significant drop in the value of Trump’s coin.
“The official Melania meme is live,” the incoming first lady of the U.S. announced on X, alongside a link to a website selling the cryptocurrency. “You can buy $melania now.”
Melania also unveiled the MELANIA token on Truth Social, which was widely perceived as legitimate after Trump retweeted the announcement.
The Solana-based meme coin quickly achieved a valuation of $12 billion within three hours of its launch, according to data from Dexscreener.
What you should know
- Information from the project’s official website indicates that it will allocate 35% to the team, 20% each to the treasury and community, 15% to the public, and 10% to liquidity.
- According to Bubblemaps, 89% of the token supply was initially owned by one wallet before being split into four, which did not match the information on the site.
- Blockchain experts suggest that the Official Trump and Melania Memes are separate projects launched by different teams with no coordination.
- Conor Grogan, head of product business operations at Coinbase, stated that the wallet handling the creation of Melania Trump’s token had previously been active on the memecoin launchpad Pump.fun and was not a multisignature wallet, unlike the one used for Donald Trump’s token.
Blockchain engineer Cygaar criticized the creation of the MELANIA token, suggesting it was an attempt to “grift.” He pointed out that the associated website was poorly constructed and lacked adequate security measures, in contrast to the well-executed Official Trump website.
The Trump family’s memecoin initiative follows the appointment of David Sacks as the crypto and artificial intelligence czar by President-elect Trump.
Sacks declared a new era of U.S. crypto innovation, stating, “The reign of terror against crypto is over, and the beginning of innovation in America for crypto has just begun.”
He made these remarks at the “crypto ball” event, which aimed to garner support for Trump within the crypto community and highlight its value to the incoming administration.