Trump meme coins plummet below $12.50

Trump-themed meme coins, including the Official Trump (CRYPTO:TRUMP) token, have experienced a significant decline in recent days, mirroring the broader downturn in the cryptocurrency market.

The Official Trump token, which once reached a market capitalisation of $14.5 billion, now trades below $12.50, marking an 82% drop from its peak.

This decline is part of a larger trend affecting the crypto sector, which saw a total market capitalisation decrease of over 10% in the past 24 hours.

The volatility in meme coins is attributed to their speculative nature and sensitivity to market sentiment, particularly in response to political developments.

Donald Trump's recent actions, including the implementation of trade tariffs on Canada and Mexico, have contributed to the market instability.

These tariffs have exacerbated risk-off sentiment, leading investors to sell riskier assets, including cryptocurrencies and meme coins.

Despite the current downturn, some analysts predict a potential resurgence for the Official Trump token, with short-term targets set at $25 and $45.

However, others, like Balaji Srinivasan and Mark Cuban, have criticised such tokens for damaging the crypto sector's reputation rather than contributing to its legitimacy.

The volatility of meme coins highlights the risks associated with investing in these highly speculative assets.

As the crypto market continues to evolve, the performance of Trump-themed tokens will likely remain closely tied to broader market conditions and political developments.

The decline of these meme coins reflects the challenges faced by the cryptocurrency sector in navigating geopolitical tensions and regulatory uncertainties.

The ongoing trade war and its impact on financial markets have further complicated the outlook for these assets.

At the time of reporting, the Official Trump (TRUMP) price was $12.96.