- Donald Trump secured victory in the U.S. elections.
- The crypto market is bustling with activity.
- Memecoins themed after Trump have taken a downturn.
The United States presidential election has reached its long-anticipated conclusion, with Donald Trump stepping into the role of the 47th president. In response to this political shift, the crypto market has surged, triggering a wave of excitement that has driven numerous tokens, including Bitcoin , to impressive gains as investor confidence soars.
However, in surprising contrast to this rally, tokens were directly themed after Trump had failed to ride the wave.
Trump Memecoins Flop
Despite Trump’s victory, tokens like MAGA (TRUMP) and several other PolitFi tokens bearing the former president’s name have plunged into a sea of losses. According to CoinMarket data, the MAGA coin is down 33.3% in the last 34 hours, marking a strong underperformance amidst a broader bullish market.
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However, the Trump-flavored token is not the biggest loser in the freefall. Fellow memecoin Super Trump (STRUMP) suffered an even steeper decline , crashing 52% within a few hours. Similarly, TrumpCoin (DJT) plummeted 53%, only surpassed by Trump’s Hat (MAGA)’s staggering 73% loss .
In addition to price declines, most tokens also saw heavy losses in market capitalization. However, many of these losses coincided with surges in trading volume, suggesting that investors may have quickly capitalized on initial gains or exited their positions in anticipation of post-election volatility.
On the other hand, KAMA, the memecoin named after Vice President Kamala Harris, took an even sharper nosedive, crashing by 92% following her loss in the election race.
On the Flipside
- Despite their names, the majority of these memecoins are not directly tied to Trump or Harris.
- Trump’s election win recently propelled Bitcoin to a new all-time high of $75,300.
Why This Matters
Unlike utility tokens, memecoins are highly volatile, and those linked to political figures can be especially unpredictable. This extreme volatility in the Trump-themed tokens reminds investors to approach these assets cautiously and avoid getting swept up in the hype to prevent potential losses.
Read this article for more about the impact of the election outcome on the crypto market:
Trump-Led Market Rally Wipes Out Crypto Bears Overnight
Unlike the Trump coins, Bitcoin and the broader market ride a wave of gains. Read more here:
Bitcoin Breaks $75K as Trump’s Victory Sparks Crypto Frenzy
