Two prominent cryptocurrency analysts, DonAlt and Cred, believe President Trump may have made a colossal financial mistake with his cryptocurrency ventures. They argue that the launch of a second coin, potentially undermined the massive success of his first.
The Rise and Fall (So Far) of TRUMP
Trump’s official memecoin, TRUMP, initially skyrocketed. Within days of its January 17th launch, it boasted a market capitalization of $72 billion, placing it among the top 20 cryptocurrencies. The Trump organization reportedly held a massive 80% of the coins.
The Melania Coin Meltdown
However, the launch of a second coin, MELANIA, caused TRUMP’s price to plummet. Investors feared that the new coin would dilute the value of their existing TRUMP holdings.
Cred, one of the analysts, called the decision “one of the worst decisions of modern financial history,” highlighting the lost opportunity presented by TRUMP’s initial success. DonAlt agreed, warning about the potential impact of the Trump organization’s large coin holdings eventually hitting the market. He believes the price will likely stabilize but predicts a significant drop as those holdings are released. The price of TRUMP has already fallen significantly from its peak.
Trump’s Involvement (or Lack Thereof)
The extent of Trump’s direct involvement in the coin launches remains unclear. While he acknowledged launching the coins, he claimed to be unaware of their performance.
Beyond the Memecoins: Trump’s Crypto Impact
Despite the TRUMP coin’s struggles, Trump’s actions have had a broader impact on the crypto world. He recently signed an executive order directing a review of a government-held crypto reserve, banning a central bank digital currency (CBDC), and promoting stablecoins. Changes under his administration also made it easier for banks to hold crypto assets for their clients.
Disclaimer:
This information is for general knowledge and does not constitute financial advice. Investing in cryptocurrencies is inherently risky. Always conduct thorough research before making any investment decisions./p>
