On January 20, the rate of the most popular cryptocurrency exceeded $109,000. After that, bitcoin went on a correction and is trading at the level of $108,000, according to data CoinMarketCap site.
The cryptocurrency set a new record, rising by 5.5%. This happened after Donald Trump and his wife Melania announced the launch of memcoins, which shook the market of digital assets. The market capitalization of the $TRUMP token quickly exceeded $15 billion, but soon suffered a significant drop.
Memcoins, launched by Trump, temporarily shifted investors’ attention away from Bitcoin and other popular tokens, prompting criticism from the crypto industry. Despite this, Bitcoin, Ether and XRP showed significant gains on Monday morning, accompanied by traders’ expectations of Trump’s return to the presidency.
Trump also hinted at the possibility of implementing policies that could promote the development of cryptocurrencies at the national level. According to Ben El-Baz, managing director of HashKey Global, the launch of memcoins by Trump and his team is the impetus for the acceleration of bitcoin’s growth as the market awaits confirmation of the Republican’s commitment to the crypto industry.
The “official” memcoin $TRUMP has reached a market cap of $2 billion, with trading volumes exceeding $3 billion in a matter of hours. Melania Trump later announced her own $MELANIA cryptocurrency, which in the first 30 minutes after launch reached a capitalization of $4 billion. During this time, the Trump token lost 36% of its value.
