Memeing up the Oval Office
Special Compass
Just hours before Trump’s Inauguration Day, amidst expectations of what could be a turning point for Bitcoin and the crypto ecosystem, an unexpected announcement shook the weekend: the launch of a memecoin, $TRUMP. The token has already claimed the 18th spot in market cap, valued at $9.4 billion, making it the most successful memecoin launch in history.
What might seem like the plot of a farce—pushing absurd and even grotesque situations to their limits in a comedic tone—adds another twist to a story that began when Trump announced his involvement at the Bitcoin Conference. The legitimacy gained by the next U.S. president within Bitcoin and the crypto ecosystem has been irreversibly damaged in the long-term, although in the short term, it may represent unprecedented hype in the crypto ecosystem.
Furthermore, for external observers in financial circles and governments, who already view Bitcoin skeptically, this move (if we can call it that)—launching a memecoin days before taking office and weaving it into the public agenda and discourse—takes on an even more negative connotation. It turns the situation into a satire: those who equate Bitcoin with crypto, memecoins, and fraudulent schemes like pump-and-dumps and ponzis now have their suspicions confirmed, even though no pump-and-dump scheme has been carried out yet or is verifiable.
Why Is This Relevant?
We stand at a crossroads as Inauguration Day approaches. Will the next move be a "sell the news" event, or will we see consolidation followed by new highs? As discussed in the previous analysis, there are arguments for and against further bullish momentum, but the main threat remains FOMO.
Much attention should be paid to Trump’s remarks about Bitcoin and the crypto ecosystem. However, given this recent event, it’s reasonable to wonder whether Trump himself understands the distinction between Bitcoin and crypto—a distinction crucial to many in the space. The market’s interpretation of his words will likely dictate the price action.
The pressing question is: with a memecoin at the center of attention (and its tokenomics revealing that the developers hold 80% of the supply—arguably making it more of a shitcoin than a memecoin), isn’t this a signal that we might see a market dump after Inauguration Day?
This isn’t an unfounded concern, and caution is warranted. We must remain vigilant and avoid FOMO. The key lies in Trump’s speech. While we may see a euphoric price surge in response, the real market movement could be revealed afterward.
How Bizarre
When we first saw the $TRUMP memecoin announcement on Twitter, we thought it was a hack. As hours passed, it became clear it was legitimate. How could the next president of the United States—mere hours away from taking office, discussing a strategic Bitcoin reserve—launch a memecoin?
Ethical considerations aside, this is being interpreted as Trump leveraging his alignment with Bitcoin and the crypto ecosystem to reap financial benefits by pumping his own holdings—a move reminiscent of DOGE and Elon Musk's style. This is not only a fraudulent scheme but also one that undermines the legitimacy of his other stances, no matter how pro-Bitcoin they may appear.
Nevertheless, we shouldn’t overlook the possibility that, if executed properly—and if the 80% of tokens held in the developers’ wallets remain untouched over time without triggering a dump—this could potentially create a new setup that builds greater trust and eases the initial skepticism, which, to be fair, is not unjustified.
This is the optimistic view, avoiding the worst assumptions. However, following the announcement of the Melania token—$MELANIA—by the soon-to-be First Lady of the United States, $TRUMP plummeted by over 40%. The market reacted negatively, and the entire situation has become a self-explanatory joke.
This bizarre turn of events feels like the predictable ending of a farce: ridicule and mockery. Let’s hope this doesn’t create more noise and that we can refocus on what truly matters—Bitcoin.
Luckily BTC will continue creating the most secure, reliable, decentralized blocks of high value information, back by more energy than all the Militaries in the world.