#Trump Inauguration Triggers Crypto Market Plunge#
Hot Topic Overview
Overview
The inauguration of Donald Trump saw a major drop in the crypto market. This was primarily driven by the meme coins, like TRUMP and MELANIA, issued by Trump and his family, which had fuelled a market frenzy before the inauguration. However, market sentiment quickly cooled after the inauguration, leading to a sharp decline in prices. Additionally, there were concerns that Trump might leverage his presidential power to benefit his family's crypto projects, potentially leading to legal action or impeachment. Despite this, the market generally believes that Trump is supportive of cryptocurrencies and may introduce policies that favor them. This was evidenced by Bitcoin reaching an all-time high before Trump's inauguration, and the market anticipates further growth in the future.
Ace Hot Topic Analysis
Analysis
The inauguration of Donald Trump saw a significant decline in the cryptocurrency market, primarily driven by the massive volatility caused by meme coins launched by Trump and his family. Prior to his inauguration, Trump introduced the TRUMP coin, named after himself, which quickly gained immense attention and investment, reaching a market capitalization of $20 billion. However, as Trump assumed office, market sentiment shifted, resulting in a steep drop in the price of TRUMP coin, triggering market panic. Furthermore, Trump's wife, Melania, launched her own meme coin, MELANIA, further exacerbating market fluctuations. Some analysts believe that these meme coins launched by the Trump family lack intrinsic value and are merely leveraging Trump's popularity and market hype, ultimately leading to a market bubble burst. Nevertheless, other analysts argue that the Trump family's meme coins could mark a new era in the crypto market, with more celebrities joining the coin-issuing trend. In conclusion, the cryptocurrency market crash following Trump's inauguration reflects the inherent instability and high-risk nature of the meme coin market. Investors should proceed with caution and avoid blindly chasing trends.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
Trump's coin event marks the arrival of a new era of US crypto regulation, with the government potentially starting to see crypto as a tool to directly engage the public.
Trump's coin event sends a signal that it is “okay to boldly build and issue tokens in the United States”, which is a major positive for the US crypto industry that has been hit by regulatory crackdowns under the Biden administration.
Trump's coin event could push the approval of a Solana ETF, as the TRUMP coin is built on Solana and is seen as a major support for the blockchain.
Trump's coin event could trigger capital flows from Bitcoin and altcoins, reshaping the entire crypto market.