news 
TRUMP Coin Crashes as Tariff Wars Shake Markets
The TRUMP coin has taken a drastic hit in recent days, plummeting to January 2025 lows amidst rising tensions over global trade policies. As the cryptocurrency market grapples with the fallout of escalating tariff wars, investors are abandoning ship and taking short positions en masse.
According to our analysis, the funding rates for TRUMP futures contracts have dropped to unprecedented lows, indicating a surge in demand for short positions as traders increasingly lose faith in the asset’s potential recovery. This comes as no surprise, given the dismal performance of the coin since its launch ahead of Trump’s inauguration.
RSI (Relative Strength Index) readings remain entrenched below 30, signaling an extreme oversold condition with little respite in sight. The technical landscape is starkly bearish, with key chart patterns suggesting that $10 could be the next psychological battleground. A breach below this level would mark a staggering 93% collapse from its all-time high, likely triggering widespread liquidations.
For any hint of reversal, analysts are emphasizing the need for TRUMP to reclaim the $19.58 resistance – a daunting 37% climb that seems increasingly unlikely under current market conditions.
Despite the bloodbath, trading activity has not subsided, with an astonishing $1.42 billion in daily trades. This extraordinary liquidity represents a whopping 42.88% of its total market capitalization, indicating both speculative interest and institutional repositioning.
Notably, TRUMP’s fully diluted valuation stands at $16.58 billion, revealing an unsustainable supply overhang stemming from its maximum token supply of 999.99 million.
Initially launched as a meme coin, TRUMP has transformed into an unlikely bellwether for market reactions to U.S. trade policy shifts. As tariff conflicts continue reshaping global markets, the coin’s trajectory serves as a stark reminder of cryptocurrencies’ vulnerability to macroeconomic forces.
As the asset faces existential challenges in regaining investor confidence, we must acknowledge that neither technical indicators nor fundamental drivers suggest an imminent recovery.
Source: crypto-economy.com
