Hundreds of coins influenced by the president of the United States and his family have been created as a result of the current TRUMP memecoin craze. Since the launch, investors have shown a remarkable gain, setting a top at $80.00. But it is high time to know whether this coin has a bright future or not.
Trump Coin Is Here!
The president of the United States Donald Trump, shocked the cryptocurrency community throughout the weekend by introducing TRUMP, his official memecoin. The token was widely criticized; several cryptocurrency investors referred to the President's memecoin endeavor as a "big red flag."
While some people in the community voiced concerns about TRUMP's tokenomics, many others first thought that the token was a hacker scheme. Notwithstanding the skepticism, the memecoin overtook the market, soaring to $30 within a few hours and reaching an all-time high (ATH) of $75 the next day.
Beware Of Fake Coins
In keeping with the tradition of scammers using significant news events in the cryptocurrency market to target unwary consumers, Web3 security portal Blockaid revealed that TRUMP's successful debut also sparked a "rapid growth of illegal tokens, fake dApps, and scams using the Trump name and logo."
The report claims that on launch day, coins with the name "Trump" rose by 206%. "Many of these currencies used deceptive branding to entice investors," the research said.
Since late December, the number of new harmful tokens with the phrase "Trump" has ranged from 2,000 to 3,000 every day. Nevertheless, this figure rose to 6,800 tokens distributed last Friday, which is twice as many as the typical 3,300 Trump-inspired tokens generated per day.
Trump Meme Coin Craze
After the US President took charge, the Trump meme coin craze persisted. According to a video posted on X, community residents produced several new tokens with themes inspired by Trump's inauguration address.
Within seconds of the US President uttering words such as “Make America respected again” or “America will be admired again,” users rushed the market with a number of meme coins, possibly in an effort to capitalize on the continuing excitement.
Trump Coin Price Technical Analysis
In the daily chart of TRUMPUSD, the ongoing market momentum is sideways as the current price hovers within a symmetrical triangle formation.
After reaching the peak at the 80.08 level, the price showed significant selling pressure, taking the price at the discounted zone. As a result, a bearish continuation has come below the 50-day Exponential Moving Average, signaling a downward pressure.
In the volume structure, the largest activity level since the inception is above the current price, signaling ongoing selling pressure.
Based on this outlook, investors should monitor how the price trades below the 50 day EMA level. As long as this dynamic line is hovering above the current price, sellers are more likely to take the price down. In that case, the immediate support level is at the 30.00 level, before reaching the 21.41 low.
On the bullish side, a channel breakout witha daily close above the 43.92 high could be a remarkable achievement by bulls. In that case, a bull run might appear, targeting the 63.43 level as the immediate resistance.
