Trump’s Memecoin TRUMP Spikes 9% After $320M Unlock, But Investors Still Face $2 Billion Loss

Trump’s memecoin, TRUMP, saw a 9% increase in value over the past 24 hours, following a significant unlock of $320 million worth of tokens. Despite this uptick, the token remains down over 88% from its all-time high of $71, which it reached in mid-January, with its current value hovering around $8.40.

The recent unlock, which flooded the market with new supply, is raising concerns among investors, who are estimated to have collectively lost $2 billion after purchasing the token earlier this year. While token unlocks usually lead to price drops due to increased supply, it seems the market had already priced in this release, potentially explaining the unexpected price rise.

However, with the $320 million worth of tokens now unlocked, there’s an increased risk of a larger sell-off, especially considering TRUMP’s relatively thin liquidity. CoinMarketCap data reveals that even small trades—just $1.3 million—can move the token’s price by 2% on major exchanges. The unlock also took place over the Easter holiday weekend, when trading volumes tend to be lower, amplifying the potential for erratic price movements.

Meanwhile, speculation is rife on social media about a possible event for large TRUMP token holders, allegedly being organized by Trump himself. However, these rumors remain unsubstantiated and highly speculative.

Dune Analytics reports that there are currently 636,000 TRUMP token holders, with just 12,285 wallets holding more than $1,000 worth of the cryptocurrency.