TRUMP Memecoin Unleashes 40 Million Tokens: What Happens Now?

In a stunning twist, the infamous TRUMP memecoin, launched in January 2025, has just unlocked a whopping 40 million tokens worth around $300 million. But is this a sign of impending doom or a chance for recovery?

Released on April 18, this unlock event accounts for 20% of TRUMP's circulating supply and 4% of its upcoming total of 1 billion tokens. With the price plummeting by a staggering 88% from its all-time high of $74.59, the question on everyone’s lips is: will this huge release create a massive sell-off or open the door for new opportunities?

The TRUMP Tokenomics: A Double-Edged Sword

The TRUMP token ecosystem is structured with a total cap of 1 billion tokens, set to be progressively released over the next three years. Currently, with about 200 million tokens in circulation, the recent unlock will significantly increase available supply, creating potential downward pressure on price if holders decide to cash in immediately.

However, despite these inflationary risks, TRUMP's fundamentals appear surprisingly resilient. Data shows that short-term holders are still holding their positions, indicating a bullish sentiment rather than panic selling. This suggests that many believe in TRUMP's potential for recovery.

Market Reactions and Key Levels to Watch

Following the unlock, TRUMP experienced an impressive 8% rally in its price, momentarily reclaiming the crucial $8 threshold. With trading volume surging by 68% in just 24 hours, this signals a potential bullish buy-in as investors speculate on the token's future.

But caution is advised: while this uptick may appear significant, it remains uncertain whether it’s a genuine trend reversal or just a temporary bounce within a downward trajectory.

Support levels are also essential to watch. The $7 mark has proved resilient for TRUMP, though an alarming drop in new wallet addresses—plummeting to just 1,476 from a high of 700,000 during its bullish phase—raises concerns about long-term interest.

What Lies Ahead for TRUMP?

While the recent rally could simply be speculative fervor surrounding the token unlock, TRUMP’s future hinges on renewed capital inflows and revitalized network activity. Without these, investors should brace for ongoing consolidation and potential volatility in the days to come.

In summary, the TRUMP memecoin stands at a crossroads, grappling with the implications of its recent token unlock while trying to maintain momentum in an unpredictable market. Will it find the spark needed for a rebound, or will it fizzle into the background?