While the Trump token brought significant attention to the crypto market, it struggled to onboard significant new capital. That’s the takeaway from the comparative analysis of Trump’s market cap versus the total value of the crypto market.
Memecoin launched with significant impact last week, reaching a market cap of over $10 billion on its first day, but has since fallen to approx. $5.3 billion at the time of writing. Meanwhile, the total market capitalization of all cryptocurrencies has hovered around $3.5 trillion, according to data from TradingView and Coindesk.
“While $Trump is now worth billions, the total crypto market cap has hardly moved. And while it’s a really interesting headline to say that 400,000 users were on board, Phantom was the first app for a little bit and it feels like the whole world was paying attention on this token, I think what we actually did was onboard a lot of attention,” said Garrison Yang, co-founder of the leading International Web3 Gaming Studio Mirai Labs, in an email.
“When it comes to actual liquidity and the capital that came into the token, very little of it (on a value consumption) was from new people. Unfortunately, we ended up moving the hot ball of money. And you can see this especially on- chain with alts on Solana and the amount of liquidity that quickly drew into the Solana ecosystem,” Yang added.
Research from Chainalysis last week showed that approx. 50% of Trump and Melania token holders were likely first-time token buyers.
