Trump-Backed Token Rises 25%, With Analysts Viewing It as a Bet on His Leadership.

TRUMP Memecoin Soars 25%, Outshines Bitcoin as Market Cap Hits $8 Billion

The TRUMP memecoin, launched by newly sworn-in U.S. President Donald Trump, surged 25% in the past 24 hours, outperforming bitcoin (BTC) and other major cryptocurrencies to recover losses from earlier in the week. Its market capitalization now stands at $8 billion, representing an impressive 900% gain since its debut.

Speaking at a press conference on Tuesday, Trump addressed the memecoin’s success for the first time. “I don’t know much about it other than when I launched it. I heard it was successful,” he said. When informed of its current valuation, Trump remarked, “Several billion? That’s peanuts for these guys,” pointing to business heavyweights in attendance such as Masayoshi Son of SoftBank, Sam Altman of OpenAI, and Larry Ellison of Oracle.

Trump also announced a $500 billion Stargate initiative, a joint venture aimed at building data centers in Texas and investing in AI infrastructure, signaling his administration’s focus on technology and innovation.

A Bet on Trump’s Popularity

Market observers suggest the TRUMP token represents more than a cryptocurrency, with some viewing it as a reflection of Trump’s popularity and policies.

“TRUMP coin could serve as a barometer of public sentiment toward Trump’s presidency,” said Yat Siu, co-founder and executive chairman of Animoca Brands, in a statement to CoinDesk. “Meme tokens act as cultural polymarkets, capturing the zeitgeist in real-time. The TRUMP token’s performance reflects this dynamic.”

Siu also warned of potential risks. “If this initiative comes across as a mere cash grab without meaningful engagement, it could cool interest in memecoins, draining liquidity and trust from the broader meme token space. How the TRUMP token evolves will be critical for the reputation of crypto and Web3 as a whole.”

As the TRUMP token continues to gain traction, its impact could extend beyond the crypto markets, influencing public perception and shaping the future of memecoins in the evolving Web3 ecosystem.