TRUMP Memecoin Gathers Momentum: Trading Spike and Manipulation Concerns

user avatar

by Giorgi Kostiuk

2 years ago

The sudden increase in TRUMP memecoin's market capitalization to $42 billion has surprised investors and fueled interest, but also led to suspicions of market manipulation.

Trading Activity and Manipulation

On January 18, analytics firm Bubblemaps investigated a crypto wallet that received $1 million a few hours before TRUMP's launch. Blockchain data shows the wallet purchased $5.9 million worth of TRUMP tokens in the first minute of trading, then sold $20 million while retaining $96 million in tokens. These assets were moved to another wallet and distributed across ten wallets, all now actively selling on Solana decentralized exchanges (DEXs). The trading activity raises concerns about potential market manipulation.

Token Structure and Intentions

Preetam Rao, CEO of QuillAudits, highlighted issues with TRUMP's token structure and intentions. "Eighty percent of the supply is locked for CIC Digital, owned by the Donald Trump Revocable Trust," Rao explained. He added that the top 10 holders control 89.06% of the supply, with no clarity on the liquidity pool's burn status. "The token's launch in an Asian morning time zone suggests it's more about profit-making," he noted.

We see insider trading involved, but if the US government is supporting innovation, maybe it's a rug pull that also sets a foundation for innovation.Preetam Rao

Exchange Success and Impact on Solana Ecosystem

TRUMP's popularity surged post-listing on major exchanges Coinbase and Binance. According to CoinGecko, TRUMP trading volumes soared, with Bitget, MEXC, and KuCoin leading the activity. At the time of writing, TRUMP is up 194% in 24 hours, trading at $54.62. Meanwhile, Solana's ecosystem reached record highs, with platforms Raydium, GMGN, and Moonshot processing large volumes of transactions, attracting over 200,000 new users.

While the TRUMP memecoin shows rapid growth, analysts express doubts about its stability and trading transparency, noting potential market manipulation and impact on the Solana ecosystem.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

Legislative Focus on Bitcoin Reserves Expected in 2027

Legislative focus on Bitcoin reserves is expected in 2027 as lawmakers in Florida and Texas prepare for new sessions, with key figures like Byron Donalds and James Talarico potentially influencing future policies.

user avatarDiego Alvarez

Bipartisan Support for Bitcoin Reserves Emerges After 2026 Midterms

Bipartisan support for Bitcoin reserves has emerged following the 2026 US midterm elections, with officials from both parties in Florida and Texas advocating for government-held Bitcoin reserves.

user avatarKenji Takahashi

ECB Announces 36 Payment Providers for Digital Euro Pilot

The European Central Bank has selected 36 payment service providers for a digital euro pilot set to begin in late 2027.

user avatarMaria Fernandez

Bitcoin Price Recovery Approaches Crucial Level

Bitcoin is attempting to regain momentum after a recent correction, with analysts suggesting that reclaiming the $75,000 level could signal a shift in market sentiment.

user avatarGustavo Mendoza

SEC Announces Rule Change for KalshiEX Security Futures Listings

The SEC has issued a notice regarding a rule change for listing standards of perpetual security futures on KalshiEX.

user avatarRajesh Kumar

Bitget Launches Open Custody Network to Enhance Trading Security

On November 5, Bitget announced the launch of its Open Custody Network (OCN), designed to connect external banks and institutional custodians with its trading infrastructure to enhance security and operational independence in cryptocurrency trading.

user avatarMiguel Rodriguez

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.