TRUMP and MELANIA Meme coins: How Presidential Coins Shock Investors

The crypto markets are rubbing their eyes: Almost overnight, two new meme coins have placed themselves high in the charts, listed under the abbreviations TRUMP and MELANIA. You read that right: Donald Trump launched an “Official Trump” meme coin on Saturday before his inauguration as US President today, which has currently pushed itself into the top 20 cryptocurrencies worldwide with a market capitalization of over $10 billion.

And less than 48 hours later, on Sunday evening, “Melania Meme” was launched, which is being promoted by the future First Lady Melania Trump. MELANIA is currently ranked around 60th on the list of top altcoins with a market capitalization of just under $2 billion. What’s behind it?

It has been known since the election campaign at the latest that Donald Trump wants to make cryptocurrencies and the cryptocurrency industry a focus of his government program. But when a request to celebrate his inauguration by buying TRUMP Meme Coin suddenly and completely unexpectedly appeared on his official account at X and elsewhere, many believed it was a hack . The first reaction was not much different when Trump’s wife followed suit on X with MELANIA. But it quickly became clear: TRUMP and MELANIA are serious and are publicly supported by the family.

Meme coins of Donald and Melania Trump on Solana (SOL)

That’s why it’s worth taking a closer look at the matter. TRUMP and MELANIA are both native to the Solana (SOL) ecosystem, where meme coins have been making headlines of all kinds for months. The launch of “Official Trump” on Saturday promptly drove Solana to a new all-time high of $293. The SOL rally ended abruptly when the meme coin TRUMP’s family rival MELANIA was launched on Sunday night. The analysts at “The Kobeissi Letter” have traced the dynamics around TRUMP and MELANIA on X and suggest that perfect timing in large sales of “Official Trump” suggests suspicion of insider trading.

But there are other warning signs for critical investors too. In the case of TRUMP, only 20 percent of the 1 billion generated were released for the stock market debut and the remaining 80 percent are reserved for the creators, i.e. Team Trump, according to official information . In the meme coin sector, which usually relies on broad communities for sustainable success, the token distribution for TRUMP is actually absurd.

Because it seems as if investors and the community are mainly intended to serve as financiers and the creators of TRUMP want to cash in over the next three years with the huge reserves allocated to them. The renowned crypto detective ZachXBT commented accordingly cynically with “make crime great again”, an allusion to the Donald Trump slogan “Make America Great Again”.

TRUMP and MELANIA: Token distribution provokes doubts

ZachXBT has not yet spoken out about MELANIA. But here too, the official information on token distribution paints a picture that is not particularly favorable for investors and the community. Only 35 percent of all MELANIA are available for free sale, the vast majority are reserved for the team, reserves and liquidity.

A good 16 percent of the 1 billion “Official Melania Meme” coins generated are currently in circulation, which already suggests that MELANIA will have a hard time continuing its initial high. For both TRUMP and MELANIA, large quantities of tokens will be released for sale by the creators in the coming months – this means that considerable price pressure is inevitable.

Conclusion: TRUMP and MELANIA – Meme coins for a flash in the pan?

Observers know: Meme coins like TRUMP and MELANIA can only maintain their momentum if demand continues to rise. The “Official Trump” meme coin has managed to get listed on major crypto exchanges like Binance, Kraken and Bybit in no time at all. This opens up new buyer groups for TRUMP, at least in the short term.

MELANIA has also already been added to the portfolio of major crypto exchanges like KuCoin, Bitget and MEXC, and more are likely to follow. Whether the hype surrounding TRUMP and MELANIA has already reached its peak or will continue is an open question. The token distribution for the two presidential meme coins suggests that long-term investments in TRUMP or MELANIA are fraught with high risk.

The question of whether it is appropriate for a US president to top up the family coffers with meme coins must also be allowed. The crypto scene is hoping for clear announcements about a promised US state Bitcoin reserve and deregulation of the industry at Donald Trump’s inauguration today. But just a few hours before the Republican takes over the White House, MELANIA and TRUMP dominate the news of the crypto scene, peppered with a lot of sensible criticism. The Donald Trump grab bag gives a foretaste of how the 78-year-old envisions his renewed commitment at the top of the world power USA.

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(Featured image by Carmen Rodriquez via Flickr)

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