In January 2025, U.S. President Donald Trump introduced a memecoin named $TRUMP. When it was launched, the price of the token reached as much as $75.35. But things didn’t remain good for long the token has now fallen by 83% and is currently available at about $8.
A lot of investors have lost money. Reports indicate that approximately 813,000 wallets purchased the coin, and collectively, they’ve lost nearly $2 billion since the launch.
And now, a large event awaits on April 17, 2025, the project team will release 40 million additional $TRUMP tokens, worth approximately $320 million. That is approximately 20% of the supply. These tokens are primarily owned by businesses such as CIC Digital LLC and Fight Fight Fight LLC.
CIC Digital is associated with Trump’s personal trust.
Investors are getting nervous. If the team liquidates these unlocked tokens on the open market, it will instantly raise supply rapidly and drive the price down even lower. Since there isn’t much liquidity, that is, not many buyers, that could collapse the price majorly.
Early on, some of the early investors profited in large amounts. One individual made more than $300 million from $1 million, but that was in the beginning. The majority of individuals who invested afterward have had their money dwindle quickly.
This reveals the danger in memecoins, particularly when they are pegged to public figures. With the unlock soon to happen, the market closely watches to observe what is next.
Credit: Source link
