TRUMP and MELANIA Tokens Dive 50% as Bitcoin Fails to Rally Post-Trump Inauguration.

Trump Tokens Crash 60% as Inauguration Fizzles, Investors Face Major Losses

The initial excitement surrounding Trump family-themed tokens has quickly turned into disappointment, with TRUMP and MELANIA tokens dropping as much as 60% in the last 24 hours. The steep decline followed heavy profit-taking after Monday’s inauguration, leaving many investors with significant losses.

Futures tied to these tokens also experienced a sharp downturn, resulting in nearly $70 million in liquidations for traders who had bet on further price increases.

High Trading Volumes Reflect Initial Hype

Despite the collapse, the trading volumes for both tokens were enormous. TRUMP saw $19 billion in trading volume over a 24-hour period, while MELANIA traded $4.5 billion. For context, major cryptocurrencies like Tron (TRX) and Cardano (ADA) logged under $4 billion in volume during the same timeframe, highlighting the massive interest in these Trump-themed assets.

However, trading activity has slowed significantly in the wake of the price drop. Data from the Moonshot trading platform, which was among the first to list TRUMP, shows volumes falling from an average of $6 million on January 18-19 to just over $1 million in the past 24 hours, according to a dashboard from @Seoulcalibur.eth on Dune Analytics.

No Crypto Mentions in Trump’s Speech Disappoints Market

The broader cryptocurrency market was also affected by the lack of crypto-related announcements during Trump’s inaugural speech. Many traders had hoped to hear about initiatives like a strategic bitcoin reserve, but the speech did not deliver on those expectations. As a result, Bitcoin (BTC) dropped from a high of $109,000 to around $101,000 by Tuesday morning in Asia.

Solana and Pro-Crypto Outlook Still Positive

Despite the losses, optimism remains for Solana (SOL), the blockchain on which the TRUMP token was launched. Analysts believe that launching the token on Solana could be a positive signal for the blockchain’s future.

“$TRUMP’s launch on Solana is a strong endorsement of the network, and it could pave the way for an earlier-than-expected approval of a Solana ETF,” said QCP Capital, a trading firm based in Singapore. “The media attention from such high-profile memecoin launches is likely to drive more retail participation in the Solana ecosystem.”

The firm added, “The launch also appeals to institutional investors, signaling Trump’s pro-crypto stance. Many are waiting for concrete policies that could significantly shape the future of the crypto market.”

Short-Term Setbacks, Long-Term Optimism

While the Trump memecoin saga has seen a rapid collapse, there’s still a broader sense of optimism within the crypto community about future pro-crypto policies. Investors are closely watching to see how Trump’s stance could influence the market moving forward, especially as expectations grow for a more crypto-friendly regulatory environment under his leadership.