Analysis of price movement after the unlocking of TRUMP Token in April

Introduction

The TRUMP token will experience a significant unlock in April 2025, with the bearish pressure of daily market sell-offs and the bullish impact of Trump hosting a token holder banquet continuously influencing the price of the TRUMP token. As a politically related cryptocurrency, the Trump meme coin demonstrates unique market resilience but also faces significant volatility risks. This article delves into the astonishing trends following the unlock of the TRUMP token, the market fluctuations, the complex relationship between investor sentiment and price volatility, as well as the potential impact of political factors on its future.

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TRUMP Token Emerges: The First Celebrity Coin with the Highest Market Value

TRUMP token is a Memecoin based on the Solana blockchain, initiated by current U.S. President Donald Trump on January 17, 2025, aimed at allowing his supporters to express political support through digital assets while attracting the interest of cryptocurrency investors.

As a politically oriented cryptocurrency, the rise of the TRUMP token reflects the intersection of the cryptocurrency market and the political sphere, with its price fluctuations and community dynamics becoming the focus of market attention.

Meme coins are usually based on popular elements from internet culture, characterized by high speculation and entertainment value. The design intent of the TRUMP token is to allow Trump supporters to express their support by holding and trading the token, while also providing a new investment option for cryptocurrency enthusiasts. Trump's association with cryptocurrency dates back to his second presidential term, during which he introduced several policies supporting cryptocurrency, including the establishment of strategic cryptocurrency reserves and easing regulations on the industry, creating a favorable policy environment for the issuance of the TRUMP token.

The Amazing Trend After the TRUMP Token Unlocking

Recently, the TRUMP token will have its first major unlocking event on April 18, 2025, releasing 40 million tokens, worth approximately $309 million. This unlocking accounts for 20% of the current circulating supply, attracting significant market attention. Unsurprisingly, after the token unlocking, the price of the token continued its usual downward trend.

Despite the short-term rally driven by the overall market recovery, the price of the TRUMP token is still well below its all-time high. According to Gate.io data, the TRUMP token is currently trading between $7.5 and $9.5, down more than 88% from its all-time high of $81 set on January 19. This large price drop reflects the high volatility of the cryptocurrency market and also highlights the unique risks of the Trump meme coin as a politically relevant cryptocurrency.

Market Volatility Triggered by Unlocking Events

In fact, this unlocking event involves the token creators and the CIC DIGITAL entity owned by Trump, and this event is widely seen by the market as a potential supply shock.

In addition, after the initial unlock, 4 million TRUMP tokens will be unlocked daily, which will further increase market supply and may continue to exert pressure on prices.

After the unlocking event occurred, the price of the TRUMP token dropped by 4.5% within just 24 hours, and market sentiment turned cautious. According to a report by Bloomberg, market participants are preparing for this unlocking event, as the release of these tokens may lead to further price fluctuations.

In the face of this situation, how should investors respond? Some experts suggest that investors should closely monitor market dynamics, especially whether there is a large sell-off after unlocking. If there is a large sell-off, prices may decline further, and investors may need to cut their losses in a timely manner.

On the other hand, if the market can absorb these unlocked tokens, the price may stabilize or even rebound. However, at present, this possibility is relatively small. In addition, investors should also pay attention to further actions by the Trump family, as their actions may have a significant impact on the price of the TRUMP token.

The Impact of Political Factors on the Future of TRUMP Tokens

In fact, as a cryptocurrency closely related to political figures, the future trend of the TRUMP token largely depends on the development of political factors. Trump's political activities, public statements, and potential legal disputes may significantly impact the price of the TRUMP token.

The Trump team recently announced plans to host a dinner for TRUMP token holders and is currently creating a webpage for it. This news demonstrates Trump's ongoing support for the TRUMP token, which could have a positive impact on the token's price.

In the long term, the value of the TRUMP token will largely depend on Trump's influence on the political stage. If Trump continues to maintain a strong political influence and lenient crypto regulatory policies, and actively empowers the TRUMP token, the TRUMP token may sustain its value. Conversely, if Trump's political influence diminishes, the value of the TRUMP token may be negatively affected.

Conclusion

TRUMP is a meme coin released on the eve of President Trump's inauguration in the United States. It leverages political interest and speculation, resulting in high trading volume and market demand. Its potential stems from this fervent following and the possibility of further price fluctuations driven by political events. The trend following the token unlock in April highlights the uniqueness of politically-related cryptocurrencies.

In summary, the short-term rise in TRUMP prices reflects market resilience, but the huge volatility reminds investors to be wary of risks. The future direction will be greatly influenced by changes in Trump's political influence, and investors need to carefully weigh potential returns against political risks.

Risk Warning: Sudden changes in the political situation may lead to significant fluctuations in the price of TRUMP tokens, and investors should be alert to the potential risk of substantial losses.

Author: Charle A., Gate.io researcher *This article only represents the author's views and does not constitute any trading advice. Investment carries risks, and decisions should be made cautiously. *The content of this article is original and copyright belongs to Gate.io. If you need to reprint, please indicate the author and source, otherwise legal responsibility will be pursued.