In the world of cryptocurrency, many 'shitcoins' are launched with the hope of quickly generating huge profits. However, for the $TRUMP coin, warning signs are showing a completely different picture. If you are considering investing in this coin, let's analyze in detail the risk factors before making a decision.
Analyze Market Charts and Dynamics
One of the most important indicators when evaluating a cryptocurrency is the price chart and accompanying technical indicators.
Market structure discount:
The chart of $TRUMP is showing a strong downward trend with a bearish market structure. This indicates increasing selling pressure, while the buying volume is not enough to create a recovery momentum. RSI: (
RSI )Relative Strength Index( - a trend strength measurement indicator - shows that $TRUMP still has room to continue its decline. The expected target price drop is around $3.5, which further raises concerns for investors. Lack of clear support levels:
Because $TRUMP opened trading at a new high and then continuously declined, important support levels were not formed. This increases the risk of further steep decline as the market faces a selling wave.
Tokenomics - Risk Formula
The tokenomics of a project is always a key factor in assessing the sustainability of that currency. With $TRUMP, notable points include:
Limited circulation:
Currently, only 20% of the total supply of )200 million tokens is circulating in the market. This initially seems positive, but there is a serious issue regarding liquidity and distribution. A large amount of tokens is 'hidden' behind:
800 million tokens are still held by entities related to Donald Trump. Although currently locked, they will begin to unlock in April 2025. This unlocking event may cause strong selling pressure, as 40 million tokens will be released on 04/18/2025. Future selling pressure:
Unlocking a large quantity of tokens increases the risk of 'panic selling', especially when current investors are facing losses and market sentiment is very negative.
Investor Psychology and Behavior
Another equally important factor is market psychology:
Short Selling Advantage Market:
Based on current information, only short sellers have benefited from the downward trend of $TRUMP, while most other investors are suffering heavy losses. The trading volume is decreasing:
As the price continues to decline, trading volume also decreases, indicating that even sellers are losing interest. This further increases selling pressure and creates a negative spiral for the currency. Market confidence is weakening:
The loss of investor confidence, combined with rumors and panic psychology, contributed to the short-term decline in the recovery potential of the $TRUMP coin.
Price Prospects and Key Milestones
Based on technical analysis and available data, the outlook for $TRUMP is assessed as unfavorable:
Discount target:
With an expected price drop of around $3.5, investors need to be cautious about the possibility of deep price drops if the selling trend continues. Potential liquidity cluster:
Even though there is a cluster of liquidity around $13-$14, this level can only act as a short-term support. If selling pressure increases due to token unlocking, this support level may not be sufficient to hold the price. Low likelihood of reversal:
In the context of the synthesis of technical indicators and tokenomics data, the likelihood of market reversal of $TRUMP is very low, unless there is strong intervention or manipulation of prices.
Conclusion and Recommendations
From the above analysis, it can be concluded that:
Investment risk is too high:
With a clear price drop chart, the RSI index shows a continuing downward trend, along with a tokenomics system that creates significant pressure in the future, $TRUMP is not a safe investment option. Selling pressure in the future:
The unlocking of a series of tokens in April 2025 will further push prices down, posing a considerable risk of losses to investors. Advice for investors:
If you are unable to tolerate high risks or do not have a risk prevention strategy when the market fluctuates, it is best to stay away or even consider short selling to profit from the downward trend of this currency.
Call for Discussion
Each investor has their own perspective and strategy when participating in the cryptocurrency market. So what do you think about the prospects of $TRUMP?
Is this a "trap" investment, or is there a possibility of recovery with market intervention? Do you have any strategies to protect capital when facing such risky projects?
Let's share your opinions in the comments section to create a constructive and analytical discussion.
Here is a detailed analysis of $TRUMP - a cryptocurrency facing multiple negative indicators from both technical and tokenomics perspectives. Hopefully, this article has provided you with a comprehensive view, helping you make informed and cautious investment decisions.
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TRUMP Shitcoin: In-depth Analysis of Current Situation and Future Prospects
In the world of cryptocurrency, many 'shitcoins' are launched with the hope of quickly generating huge profits. However, for the $TRUMP coin, warning signs are showing a completely different picture. If you are considering investing in this coin, let's analyze in detail the risk factors before making a decision.