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

American Bitcoin Reports Strong Third Quarter Performance

American Bitcoin reported a net income of approximately $126 million for Q3, highlighting its Bitcoin reserve growth from mining operations.

user avatarDavid Robinson

Hyperliquid Strategies Files for Futures Commission Merchant Status

Hyperliquid Strategies has filed an application to become a futures commission merchant, allowing it to handle certain futures-related client functions.

user avatarAndrew Smith

Hyperliquid Strategies Reports Significant Growth in HYPE Token Treasury

Hyperliquid Strategies announced significant growth in its HYPE token treasury, reaching 385 million tokens as of September 30, following the deployment of 802 million tokens in the previous quarter.

user avatarJacob Williams

Alchemy Pay Expands Regulatory Reach with New License in Mississippi

Alchemy Pay has secured a money transmitter license in Mississippi, increasing its total to 20 states in the US.

user avatarZainab Kamara

Blockchain.com Introduces New Trading API for Institutional Clients

Blockchain.com has launched a trading API designed for institutions to access its liquidity across digital assets.

user avatarSon Min-ho

Warren and Trump Team Up for Credit Card Interest Rate Cap

Senator Elizabeth Warren announced her readiness to collaborate with President Donald Trump to implement a 10% cap on credit card interest rates, aiming to provide relief for millions of Americans burdened by high credit card debt.

user avatarAyman Ben Youssef

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.