The TRUMP memecoin, linked to U.S. President Donald Trump, has experienced an unexpected surge of 85% in value over the past week, despite growing controversy surrounding its potential misuse and massive token unlocks that have inflated its circulating supply.
Token’s Remarkable Surge Defies Criticism
Over the past 24 hours, TRUMP has seen a notable 16% increase, making waves in the crypto market. This surge comes even as Democratic lawmakers ramp up their calls for an investigation into the President’s involvement with the memecoin, with some even citing it as grounds for impeachment.
The controversy largely stems from an event scheduled for May 22, where top TRUMP token holders are invited to a private dinner with President Trump. The announcement of this dinner led to a rapid 70% spike in the token’s value, and it has continued to climb by 85% in the past week, despite concerns over the ethics of such a gesture.
Calls for Investigation and Impeachment
Senator Jon Ossoff (D-Ga.) has been one of the most vocal critics, calling the dinner invitation a clear example of “selling access” to the U.S. presidency. In a town hall on Friday, Ossoff stated that when a sitting president offers private access for financial gain, it crosses the line into impeachable conduct. This argument was echoed by other prominent Democrats, including Senators Adam Schiff (D-Calif.) and Elizabeth Warren (D-Mass.), who sent a letter to the U.S. Office of Government Ethics, demanding a probe into whether Trump’s actions violated federal ethics rules.
Massive Unlocks Raise Supply, Yet Value Continues to Climb
Further complicating matters, the TRUMP token recently underwent a significant unlock, releasing $320 million worth of tokens into circulation, greatly inflating its available supply. This move raised eyebrows within the cryptocurrency community, as such increases in supply typically result in price depreciation. However, despite this, the token’s price has continued to rise.
In the coming months, an additional unlock is expected to release 25.1% of the token’s current circulating supply, estimated to be worth nearly $780 million. These continued unlocks are seen by some as a critical test for the long-term stability of TRUMP in the volatile world of cryptocurrencies.
TRUMP Token’s Volatility
Despite the recent gains, the TRUMP token still lingers more than 77% below its all-time high of over $70, which was reached shortly after its initial launch. The sharp decline from these peak levels has led to an estimated $2 billion in losses for investors who bought in during its early days.
While the recent surge offers hope to some traders, the volatility of the TRUMP memecoin raises important questions about its sustainability and the ethical implications of the President’s involvement in the project.
As the memecoin continues to experience dramatic fluctuations, both in its market value and its political ramifications, the ongoing debate over its legitimacy and potential legal consequences is far from over. Investors and critics alike are watching closely to see whether TRUMP can continue defying the odds—or if the weight of the political and legal challenges ahead will bring its meteoric rise to a halt.