TRUMP, the meme coin inspired by US President Donald Trump, has seen a prolonged downtrend over the past month, currently trading at $9.76. This persistent decline has pushed the altcoin closer to its all-time low (ATL).
With investor behavior worsening, it seems that TRUMP may soon hit this doomed milestone, especially as broader market conditions remain unfavorable.
TRUMP Demand Dwindles
The correlation between Bitcoin and TRUMP is currently at a weak 0.15. This declining correlation suggests that TRUMP may not follow Bitcoin’s lead. While Bitcoin trades at $106,500 and appears set to form a new all-time high in the near future, TRUMP’s inability to capitalize on Bitcoin’s bullish momentum signals a bearish outlook for the meme coin.
TRUMP holders are now faced with the realization that the meme coin may continue to decline independently of Bitcoin’s market performance. Without the support from Bitcoin’s upward movement, TRUMP’s chances of reversing its downtrend remain slim.
The broader macro momentum for TRUMP shows an unsettling picture. The funding rate, which tracks trader sentiment, has been fluctuating in recent days, signaling uncertainty. This volatility indicates that traders have begun to accept their losses and are shifting their focus toward shorting the meme coin.
These changes in trader sentiment reflect a broader lack of confidence in TRUMP’s recovery prospects. As funding rates fluctuate, it’s evident that the meme coin’s market dynamics are shifting.
TRUMP Price Is Facing A Crash
Currently priced at $9.76, TRUMP faces significant bearish pressure, and the ongoing downtrend could push the price lower. If the decline continues, TRUMP may fall through the $9.68 support level, with $9.11 acting as the next key support zone. A breach of this support could further accelerate the price decline.
If TRUMP slips below $9.11, the next support level to watch is the all-time low (ATL) of $7.14. TRUMP is currently 26% away from reaching this point, and while it may not happen immediately, it is a real possibility in the coming days. The outlook for TRUMP remains bearish as investor sentiment continues to weaken.
However, if the demand for a TRUMP rises due to any actions or announcements from President Donald Trump, the meme coin could see a temporary bounce. A rebound from $9.68 could drive TRUMP toward the resistance at $10.97, offering a brief relief to investors. However, this potential recovery depends on factors beyond market trends, making it an uncertain scenario.
Disclaimer
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