Key Takeaways
U.S. President Donald Trump has been generating headlines during its inauguration day. Two days earlier, he launched a wildly successful memecoin, making him $50 billion richer.
Even though its price tanked over 40% since the all-time high, the memecoin still ranks as the 18th biggest cryptocurrency.
With that in mind, let’s analyze some factors relating to its launch and supply and then analyze the price action to determine where TRUMP will be heading.
On Jan. 18, Donald Trump announced the official launch of his memecoin TRUMP. The memecoin has been immensely successful, reaching a $11 billion market capitalization and ranking as the #18th largest cryptocurrency.
The community is not entirely happy with the launch, alleging that insiders hold 80% of the TRUMP supply. Some have taken to X to apologize to previous Securities And Exchange Commission (SEC) Chair Gary Gensler, noting that he was right all along.
On-chain data shows that the largest account owns 80% of the total supply, and that is tagged as a Donald Trump account. Only 10% of the total supply is in circulation, with the rest to be unlocked over three years.
Both Binance and Coinbase announced the listing of the TRUMP memecoin. According to Moonshot data, Trump has onboarded over 161,000 people with the memecoin launch.
The second token that has onboarded the most people in Moonshot is USDC, at 41,221. So, TRUMP has already onboarded more than four times as many people in only one weekend. The launch has been absurdly profitable for Moonshot, which has gained over $5 million in fees alone.
According to data from Dune, several traders who bought in early have made over eight figures in profit , the largest being $49 million.
The TRUMP price increased rapidly shortly after its launch on Jan. 18, culminating with a new all-time high of $79.34 the next day, after a 50% decline that coincided with the launch of MELANIA , the memecoin of First Lady Melania Trump.
Even though the price initially bounced, confirming an ascending parallel channel, it failed to break out from it. Rather, it validated the $61 area as resistance (black icons), coinciding with the channel’s resistance trend line.
So, the trend cannot be considered bullish until the TRUMP price breaks out.
On the other hand, a breakdown from the channel will likely mean the upward movement is over, triggering a downward movement toward the $25 support region.
The TRUMP memecoin launch was immensely successful. Despite its decline following the launch of MELANIA and the concerns about supply centralization, the memecoin has reached the top 20 largest cryptocurrencies.
The future trend’s direction depends on the $61 resistance region.