Donald Trump’s TRUMP Leads with 180% Gains, but There’s a Caveat
- TRUMP token soars 180% post-launch, reaching $18.61 with a $3B market cap, ranking it 37th among top crypto assets.
- Bearish signals emerge, with trading volume and Chaikin Money Flow showing divergence, hinting at a potential price reversal.
- TRUMP price risks falling to $14.85 if selling pressure increases; sustained trends could push the token to new highs.
President-elect Donald Trump has launched a new token, OFFICIAL TRUMP (TRUMP). The Solana-based meme coin has skyrocketed by over 180% and trades at $18.61 at press time.
However, a series of bearish divergences have been spotted on its hourly chart, indicating a potential reversal.
TRUMP’s Negative Divergence Threatens Rally
The newly launched TRUMP meme coin has led the market as the top gainer over the past 24 hours. Its meteoric rise has pushed its market capitalization past $3 billion in less than 12 hours, earning it a spot among the top 100 cryptocurrencies. As of this writing, the Donald-Trump-linked token is the 37th largest crypto asset by market capitalization.
However, despite the current buzz surrounding TRUMP, a number of bearish signals have emerged, casting doubt on the sustainability of the uptrend. BeInCrypto’s assessment of TRUMP’s hourly chart has revealed a steady drop in its trading volume.
A negative divergence is formed when an asset’s price rises while its trading volume drops. This divergence signals weakening demand or reduced buyer participation, which can make the price rally unsustainable.
This trend suggests that the TRUMP price rally may be primarily driven by fewer transactions or speculative activity, leaving the meme coin vulnerable to a potential reversal.
Furthermore, the steady fall in TRUMP’s Chaikin Money Flow (CMF) supports this bearish outlook. While TRUMP’s price has rallied, its CMF has remained in a downtrend, forming a bearish divergence.
When an asset’s price is rallying while its CMF is falling, it indicates that buying pressure is weakening despite the price increase. This divergence suggests the rally may lack strong market support, hinting at a reversal.
TRUMP Price Prediction: Uptrend Faces Risk of Reversal
As buying pressure weakens, TRUMP’s uptrend will lose momentum. Once selling activity commences, it will reverse its current trend and could plummet to $14.85.
On the other hand, if the current trend is sustained, TRUMP will reclaim its all-time high of $19.39 and continue to register new highs.
Wirex
Explore
YouHodler
Explore
Phemex
Explore
Zoomex
Explore
Wirex
YouHodler
eToro
eToro
eToro
eToro
Phemex
Zoomex
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Most Discussed
- 1
- 2
- 3
- 4
- 5
- 6
- 7
- 8
- 9
- 10