TRUMP, MELANIA Tokens Crash 50% After Trump’s Inauguration Delivers No Boost to Bitcoin.

Trump Tokens Crash 60% After Frenzy, Leaving Investors Reeling

The hype around Trump family-themed tokens has quickly turned sour, with TRUMP and MELANIA tokens plummeting as much as 60% in the past 24 hours. The steep declines followed heavy profit-taking after Monday’s inauguration, catching hopeful investors off guard.

Futures tied to the tokens saw similarly devastating results, with nearly $70 million in liquidations for traders who bet on rising prices.

Massive Trading Volumes Highlight Initial Interest

Despite the sharp downturn, the tokens recorded massive trading volumes, reflecting strong initial interest. Over the past 24 hours, TRUMP amassed an eye-popping $19 billion in trading volume, while MELANIA saw $4.5 billion change hands. In comparison, major cryptocurrencies like Tron (TRX) and Cardano (ADA) recorded less than $4 billion in trading volume during the same period.

However, trading activity is now fading rapidly. On Moonshot, a platform that was among the first to list TRUMP, volumes have dropped significantly. A Dune Analytics dashboard created by @Seoulcalibur.eth shows that volumes have fallen from over $6 million on Jan. 18-19 to just $1 million in the last 24 hours.

Lack of Crypto Mentions in Trump’s Speech Disappoints Markets

The broader crypto market also felt the impact of unmet expectations. Many traders had hoped for a mention of crypto during Trump’s inaugural speech, such as a potential plan for a strategic bitcoin reserve. However, the omission caused Bitcoin (BTC) to slide from over $109,000 to just above $101,000 by Tuesday morning in Asian trading hours.

Solana and Pro-Crypto Sentiment Remain Bright Spots

Despite the downturn, optimism remains for Solana (SOL), the blockchain that hosted the TRUMP token launch. Traders and analysts see the launch as a significant endorsement of the chain and a potential driver for future adoption.

“Launching $TRUMP on Solana validates the chain’s capabilities and could fast-track a SOL ETF approval,” said QCP Capital, a Singapore-based trading firm, in a Tuesday note. “With the media buzz surrounding these launches, retail inflows are likely to follow.”

The firm further added, “Trump’s memecoin launch isn’t just a gimmick; it sends a strong message about his pro-crypto stance. Institutions are watching closely, and concrete crypto-friendly policies could reshape the market and broader economy.”

Outlook Remains Uncertain but Hopeful

While the frenzy around Trump-themed tokens has cooled, the broader implications of Trump’s support for cryptocurrency are still unfolding. Investors are now waiting to see whether pro-crypto policies will materialize and drive long-term growth in the market.