Trump’s Meme Coin Takes a Hit Amid Market Turmoil

President Donald Trump’s official meme coin, TRUMP, has emerged as the biggest loser in today’s volatile crypto market, which is experiencing a downturn ahead of impending trade tariffs set to take effect on Tuesday.

TRUMP’s Price Drop

Launched just days before Trump’s inauguration in January, the Solana-based meme coin has plummeted by 25% in the past 24 hours, now trading at $12.60. This decline marks the steepest drop among the top 100 cryptocurrencies by market capitalization.

On Sunday, TRUMP token prices surged from $13.46 to $17.46 following Trump’s announcement regarding plans for a U.S. crypto reserve that would include major assets like Bitcoin, Ethereum, XRP, Solana, and Cardano. This news momentarily boosted those cryptocurrencies’ values as expectations increased.

Market Downturn

However, by Monday, the optimism surrounding Trump’s crypto reserve diminished, and the overall crypto market fell by 11% in the last 24 hours, according to CoinGecko data.

Ongoing inflation concerns and the pending trade tariffs against Canada and Mexico have contributed to investor anxiety. Trump stated that negotiations with Canada and Mexico are off the table, as import tariffs of 25% are set to commence on Tuesday. Additionally, tariffs on China will increase from 10% to 20% from the same day.

The resulting anxiety impacted stock markets—Dow, Nasdaq, and S&P 500 all closed lower on Monday. Nvidia, a leading AI stock, dropped almost 9%, while Coinbase fell close to 5%. In contrast, gold prices rose nearly 2% to $2,904.

Bitcoin, often referred to as “digital gold,” also experienced a downturn, falling nearly 10% to $85,337, wiping out most of the gains from Sunday. Other cryptocurrencies like Solana and XRP fell by 20% in the past 24 hours, while Ethereum dropped 17%. Leading meme coin Dogecoin also declined by 17%, alongside other meme coins like Pepe and Bonk, which saw drops around 19%.