Yigit Taha OZTURK 
Memecoins underperform the broader crypto market, with TRUMP and MELANIA tokens experiencing significant losses. After Donald Trump’s inauguration, memecoins across the market faced substantial drops, particularly TRUMP and MELANIA tokens.
TRUMP Token Slumps After Donald Trump’s Inauguration
The Official TRUMP (TRUMP) token slid by 50% after US President Donald Trump made no crypto-related “day one” executive orders. The token had peaked above $78 on January 19 but dropped to $37 after the inauguration, a 30% decline over the last 24 hours.
Melania Meme (MELANIA) token, launched by Melania Trump, has fallen around 70% from its peak and now trades below $5.
Broader Memecoin Market Declines
Dogecoin (DOGE) also saw a decline of around 11% in the last 24 hours. However, Dogecoin resisted the broader downtrend slightly better than others.
The TRUMP token’s market cap, which reached as high as $20 billion on January 18, now stands at $7.5 billion, a 65% drop. Similarly, MELANIA token’s market cap has fallen to $819 million from a high of $2.21 billion on January 20. This has led to a decline in the total market cap of the memecoin sector to $102 billion, its lowest level since January 15.
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The total daily trading volume across the memecoin sector nearly halved, indicating increased selling pressure. Both TRUMP and MELANIA tokens saw high trading volumes, with TRUMP at $25 billion and MELANIA at $2.4 billion, showing that profit-taking continued.
Open Interest (OI) Drops for Memecoins
The drop in TRUMP and MELANIA token prices was accompanied by a decrease in open interest (OI), with MELANIA leading the decline at 32%. DOGE’s OI also saw a drop of 12%, while TRUMP’s OI decreased by 23%. This signals a bearish momentum as more contracts are closed, anticipating the trend will continue.
Technical Analysis of TRUMP Token
Technical analysts suggest that TRUMP token’s price may drop toward the $25-$30 range before embarking on a potential new upward movement. Michael van de Poppe, founder of MN Capital, predicts a possible bottom around $36 with declining sell pressure. Kwantxbt, a technical analyst, added that a trend reversal may occur if volume confirmation above $38 is observed.
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