There is optimism within the cryptocurrency sector that U.S. President-elect Donald Trump may accelerate the acceptance of digital currencies, not just in America, but worldwide. However, it remains to be seen if his newly introduced Solana-powered meme coin represents a positive move forward.
Starting January 17th with Trump’s introduction of TRUMP memecoin, there’s been a staggering 10,643% surge in its value. At the moment of this writing, it was reportedly trading at $27.50 by Moonshot, a platform specializing in memecoin transactions.
Trump’s memecoin onboarded new users to crypto
Days before Donald Trump’s inauguration as U.S. President on January 20th, there are rumors that he might prioritize cryptocurrency during his initial term, perhaps even making it a focus on his very first day.
According to Swyftx’s lead analyst, Pav Hundal, the positive response to the TRUMP memecoin indicates a promising trend for the crypto industry, suggesting potential developments in the next four years of the presidency.
current sentiment appears to be disinterest towards hearing from the bears at this moment. Trump 2.0, even before officially taking office, seems like an exciting sweet treat, as per Hundal’s statement, further adding that…
“Solana has just obliterated its previous 24hr decentralised exchange volumes off the back of a Trump meme coin. It’s astonishing.”
The debut of the meme coin led to a surge in the value of Solana’s native token (SOL), reaching a record peak of $270.
Simultaneously, some argue that although the TRUMP token has drawn numerous new cryptocurrency users, it might potentially cause damage to the industry in the future.
After a period of uncertainty following the initial announcement on Trump’s social media, there were those who questioned whether his account might have been compromised due to their doubts.
According to Scott Melker, also known as “The Wolf of All Streets,” Trump’s memecoin represents a substantial advantage for the cryptocurrency market; however, he considers it detrimental to humanity. Melker further explained his thoughts in a Jan. 18 post on X.
“Donald Trump is likely onboarding millions of new people to the space.”
As a researcher, I’ve observed an intriguing development regarding Moonshot, the platform that President Trump suggested to his followers for buying the memecoin. Since its launch, over 200,000 new onchain users have joined this platform, a significant growth indicative of increasing interest in this digital asset.
Melker stated, “It seems like an excessive attempt to make money without providing much value in return, and I find it hard to believe anyone could defend that position.” He emphasized that since insiders are buying up most of the supply during the initial release, they end up controlling around 80% of it.
“Making billions on vapor,” Melker said.
There have been concerns over the concentration of 80% of the tokens in a single wallet.
According to Arkham Intelligence, if the wallet indeed belongs to Trump, then the surge in the memecoin value would have boosted his net worth to an impressive $22 billion within a single night.
On the flip side, others say this is a major positive for token holders.
According to crypto expert Erik Voorhees, if Donald Trump indeed possesses 80% of the available supply, then the TRUMP token might rank among the top three “most secure digital assets” to invest in.
He mentioned that most of the supply is safeguarded against a sudden collapse, as there’s someone involved who stands to gain if the coin performs positively.
It may not be the ‘right direction for crypto’
According to Umar Ashraf, the founder of TradeZella, it seems unlikely that Donald Trump, in his current role, should create or endorse a meme coin of his own.
“Not the right direction for crypto,” Ashraf said.
Moonwell Finance founder Luke Youngblood said it is “bad long term” for the crypto industry.
Nonetheless, in a letter addressed to Coinbase CEO Brian Armstrong, Youngblood continued to advocate for the listing of the token on your platform.
He suggested that Trump supporters would choose to purchase the token regardless, and using Coinbase for trading is a safer, more accessible option where they can avoid potential fraud.
At the same time as the debut of the memecoin, there was a significant gathering called the “Crypto Ball,” which celebrated Trump and was attended by influential figures in the industry like Michael Saylor from MicroStrategy, Brian Armstrong who leads Coinbase, the Winklevoss twins from Gemini, and David Sacks, known for his roles in crypto and AI under Trump.
Read More
- GBP EUR PREDICTION
- POL PREDICTION. POL cryptocurrency
- SEI PREDICTION. SEI cryptocurrency
- CNY RUB PREDICTION
- TRB PREDICTION. TRB cryptocurrency
- HBAR PREDICTION. HBAR cryptocurrency
- RLC PREDICTION. RLC cryptocurrency
- CTXC PREDICTION. CTXC cryptocurrency
- TNSR PREDICTION. TNSR cryptocurrency
- USD CHF PREDICTION
2025-01-19 06:05