The Official Trump meme coin, which made headlines shortly after its launch on January 17, 2025, achieved an impressive all-time high of $75.35 just two days later. This remarkable surge coincided with the countdown to Donald Trump’s second presidential term, capturing the attention of investors and critics alike. However, in a rapid turn of events, the coin’s value has since plummeted dramatically, trading at approximately $19.38 as of February 1, 2025. This represents a staggering 74% decline from its peak, raising eyebrows across the financial landscape.
The market response has been as volatile as ever, with the coin still maintaining a significant market capitalization of around $2 billion. Yet, it is essential to note that approximately 80% of the tokens are held by affiliates of the Trump Organization, leading to skepticism about the coin’s sustainability and integrity.
Among the most vocal critics is Anthony Scaramucci, founder of SkyBridge Capital and erstwhile Trump ally, who has accused the president of orchestrating a pump-and-dump scheme. “President Trump posted on Truth Social last night in an attempt to ‘pump’ his $TRUMP memecoin, and the results have been catastrophic,” Scaramucci lamented, expressing his frustration over the coin’s drastic fall of 70% since its peak. His concerns highlight the ethical implications of a sitting president actively promoting a digital currency, raising questions about market manipulation.
As the situation unfolds, Wall Street’s anxiety grows. Trump’s history of promoting items—ranging from non-fungible tokens (NFTs) to cryptocurrency platforms—has aroused suspicion among financiers. An internal memo from Elliott Management warns that Trump’s endorsement of digital coins may trigger a speculative frenzy that has the potential to wreak havoc in the already tumultuous market. The irony of the situation is not lost on observers, as Elliott’s founder, Paul Singer, known as a critic of cryptocurrency, has been a significant financial donor to conservative causes tied to Trump.
Since Trump’s election, Bitcoin prices have surged past $100,000, aided by his ambitions to position the U.S. as a “Bitcoin superpower”. The ongoing promotion of alternative currencies at a time when global economies are reassessing their reliance on the dollar complicates matters, leaving investors on edge about the future of digital currency.
In a time of economic uncertainty, the Official Trump meme coin’s wild ride underscores the complex interaction between politics, celebrity, and digital assets. As analysts and investors grapple with this unique convergence of interests, the market remains awash with speculation and doubt, further fueling both excitement and concern about the role of cryptocurrency in modern finance.
