This past Sunday, a remarkable shift occurred in the cryptocurrency world as Donald Trump’s officially endorsed memecoin surged, peaking at an astonishing $44 – an eye-popping 900% increase within just 24 hours.
Impact on the Solana Ecosystem
The introduction of Trump’s memecoin has sparked a flurry of speculative trading in the Solana ecosystem, triggering a wave of price increases across various Solana-based tokens.
As a result, the blockchain’s native token, SOL, surged past the $275 mark.
This impressive rally followed Trump’s announcement of the TRUMP token, which he has branded as his “official” memecoin.
By selecting Solana as the platform for this new project, demand for SOL tokens has surged, according to CoinDesk.
Trading volumes for SOL skyrocketed, leaping from approximately $3 billion on Thursday to over $26 billion within a single day.
This significant uptick translated to a remarkable weekly gain exceeding 46%.
Remarkably, SOL has rebounded nearly 3,000% since tumbling to lows of $9 back in December 2022, a time marked by the fall of the FTX crypto exchange and the fallout from controversies surrounding its founder, Sam Bankman-Fried, which had cast a dark cloud over Solana.
Launch and Trading Surge
The TRUMP token made its debut on the Solana network late Friday, thanks to a collaborative effort among notable figures in the ecosystem, including teams from Jupiter and Meteora.
During this brief period, Jupiter’s JUP tokens also enjoyed a 30% upsurge in their value.
CIC Digital LLC, associated with the Trump Organization, played a pivotal role in orchestrating the token’s launch alongside a new entity named Fight Fight Fight LLC.
Together, these entities hold 80% of the token supply, which is set to be gradually released over three years.
However, the precise financial implications for Trump stemming from this initiative remain unclear.
In a frenzy following its launch, the TRUMP token’s value soared from merely cents to an impressive $14, prompting questions about its legitimacy and concerns over whether it had genuine backing from Trump or if it stemmed from a potential hack that could have resulted in the creation of a bogus token.
Market Capitalization and Exchanges
Come Sunday afternoon in Asia, this token was trading at over $44 and had gained listings on prominent exchanges like Coinbase and Binance, along with several futures products.
It now boasts a market capitalization that makes it the third-largest memecoin, outpacing pepecoin (PEPE) and standing only behind dogecoin (DOGE) and shiba inu (SHIB).
Source: Coindesk
