DJT Token Rumors Cause Over 30 Percent Drop in Trump-Linked Memecoins

Sentiment Status: Negative

All Trump-related memecoins saw their prices plummet following rumors of the official DJT token launch.

The cryptocurrency world is buzzing with the latest turmoil surrounding Trump-linked memecoins. Over the past few days, these coins have seen their values drop by more than 30%, all thanks to swirling rumors about a potential new token from the Trump campaign.

The situation began when Pirate Wires, a media outlet known for its critical reporting, shared a post on June 17. They claimed that former President Donald Trump was preparing to launch an official token called TrumpCoin, with the ticker DJT. The project was purportedly led by his 18-year-old son, Barron. Despite widespread speculation, Trump’s team has not confirmed or denied these claims, leaving the market uncertain.

The market's response was immediate and severe. The MAGA-themed memecoin TRUMP plummeted 31% to $7.46 within just four hours, resulting in a loss of over $150 million in market capitalization. Smaller memecoins related to Trump were affected even more dramatically. The Solana-based Donald Tremp (TREMP) memecoin dropped 36.8%, and the Jeo Boden (BODEN) token, which targets Trump’s rival Joe Biden, fell by over 22%.

Amidst this turmoil, the rumored DJT token has attracted significant attention. Despite being relatively unknown, DJT quickly rose to a market cap of $120 million on June 18. However, blockchain data firm Bubblemaps has raised doubts about DJT’s legitimacy, noting that 67% of its supply is held by a single cluster and 43% is on the Solana-based automated market maker Raydium.

The crypto community has responded to these rumors with a mixture of curiosity and skepticism. Some have assessed the token's legitimacy as a “50-50” chance, while other bettors are even less confident, with only a 20% belief that Trump will actually launch a token by Friday. Further complicating the situation are suggestions linking DJT to Martin Shkreli, the controversial pharmaceutical executive.

While the market waits for any official word from Trump’s campaign, the turbulence around Trump-linked memecoins shows no signs of settling down. Investors are finding themselves in a whirlwind of rumors and speculation, trying to make sense of it all. As the situation unfolds, staying informed and cautious will be key for those navigating this unpredictable market.