Bitcoin Drops to $100K as Melania Trump Launches Memecoin, TRUMP Token Declines 30%

Bitcoin (BTC) experienced a sharp pullback to $100,000 on Monday morning during Asia trading hours, as the launch of TRUMP and MELANIA memecoins caused significant volatility in the crypto market.

The leading cryptocurrency briefly dipped below $100,000, marking a 4.5% decline in the last 24 hours. Other major cryptocurrencies like ETH, XRP, SOL, and BNB also faced larger losses, with ADA and DOGE dropping by more than 10%, according to data from CoinDesk and CoinGecko.

The TRUMP memecoin, associated with President-elect Donald Trump, took a 30% hit, falling to $49 after its debut on Saturday. This decline occurred as Melania Trump introduced her own memecoin, MELANIA.

Melania Trump took to X on Sunday to announce, “The Official Melania Meme is live! You can buy $MELANIA now.” The memecoin, launched on the Solana blockchain, is described as a fungible cryptocurrency aimed at creating a playful and viral digital asset.

In a remarkable turn, MELANIA saw a staggering 24,000% rally, peaking at $13, drawing liquidity away from TRUMP, which had been the most traded coin on Binance over the weekend. This sudden shift has raised concerns that MELANIA may be absorbing interest that would have otherwise gone to TRUMP.

Some market analysts suggest that the rapid trading in TRUMP and MELANIA reflects a “FOMO” (fear of missing out) sentiment characteristic of a speculative bull market, which could trigger a correction in Bitcoin’s price.

On the flip side, Jeff Dorman, CIO at Arca, views the TRUMP token launch as a breakthrough moment. He believes that the regulatory obstacles which have held back U.S. crypto adoption for years may now be cleared. “The regulatory concerns that prevented token issuers and investors in the U.S. from fully participating in crypto are now gone. The President himself is both an issuer and an investor in a token,” Dorman shared on X.

Dorman continued, “The launch of the TRUMP token signals to businesses, universities, and individual brands that cryptocurrency is now a viable tool for capital formation and customer engagement.”

As the inauguration approaches, speculation grows that President Trump may use his first day in office to sign an executive order, potentially establishing a Bitcoin Reserve to further integrate cryptocurrency into U.S. financial policy.