TRUMP Meme Coin Plunges 85%: World Liberty Financial Acquisition Fails to Reignite Investor Confidence Amid Market Manipulation Concerns
TRUMP Meme Coin, associated with the Trump family and backed by World Liberty Financial, suffered an 85% price crash, eroding significant investor value. In response, World Liberty Financial, which holds major assets like BTC, ETH, and TRX, announced plans to purchase and add large amounts of TRUMP token to its long-term treasury. The move, disclosed by Eric Trump, initially spurred a brief 6% price uptick and saw trading volumes reach $604 million, although this was a 37% decline from previous highs. Despite this, the market reaction remained subdued as traders showed limited buying interest and overall skepticism. Concerns were further heightened by allegations involving a World Liberty Financial advisor reportedly shorting before going long on the coin, fueling claims of potential insider trading and market manipulation. Additional controversies surrounded the TRUMP wallet launch and disputes over any direct ties with Trump Media, adding to market uncertainty. As questions of ethics and transparency linger and investor trust remains low, the long-term outlook for TRUMP Meme Coin appears bleak, with recovery prospects doubtful amid persistent scrutiny and weak demand.
Bearish
Despite World Liberty Financial’s announcement to acquire and hold large amounts of TRUMP Meme Coin after its 85% crash, the market response was skeptical, with only minor price recovery and a significant drop in trading volume. Allegations of insider trading, market manipulation, and ongoing transparency concerns have further undermined investor trust. Historical patterns around meme coins with controversial backing and governance issues typically result in continued price weakness and high volatility. Unless trust can be restored or substantial institutional support materializes, short-term and long-term prospects for TRUMP Meme Coin remain negative, suggesting a bearish outlook.