The Trump family’s entry into the crypto industry has become a cautionary event for retail investors. Specifically, both Melania Meme ($MELANIA) and Official Trump ($TRUMP) tokens have gone through extreme dips since their launch. As per the data from CryptoRank, $MELANIA and $TRUMP tokens have plummeted to $0.123 and $3.66. Majorly, the retail investors have absorbed the losses during the crash, while the insiders have potentially gone away with gains.
$MELANIA and $TRUMP Tokens Collapse, Retail Losses While Insiders Gain
Based on the market data, Melania Meme ($MELANIA) and Official Trump ($TRUMP) tokens have dropped by 98.8% and 91.8%. These staggering price plunges have struck the retail investors with significant losses. As a result of this, the $MELANIA’s price has hit $0.123, and $TRUMP now accounts for $3.66 in price while insiders have reportedly made notable profits by dumping their holdings.
The disparity existing between retail losses and insider gains is stark. In this respect, insiders collected more than $600M via token sales and fees. On the other hand, the ordinary investors experienced losses at a huge 20-to-1 ratio. So, the retail investors lost $20 for every dollar earned by insiders. This pushed the cumulative retail losses above the $4.3B mark.
At the moment, almost 2M wallets are still in the negative zone, suggesting a catastrophic effect on small-scale investors, those who purchased into the massive hype of $MELANIA and $TRUMP tokens. Fueling this controversy, only forty-five whale wallets remained successful in extracting a total $1.2B. This underscores the wealth concentration among a few wallets. Moreover, there is a speculation of a potential continuation of this sell-off because $2.7B in terms of insider holdings will remain locked until the year 2028.
Further Sell-Off Threat Looms as Billions Stay Locked in Insider Token Holdings
According to CryptoRank, $TRUMP witnessed a sheer initial drop, leading to an extended halt at considerably low price levels. Additionally, the trajectory of $MELANIA has also become cautious. The respective performance patterns indicate caution over the plunging investor confidence as well as the wider skepticism in the case of celebrity-led memecoins. Overall, with billions locked in diverse insider wallets, there is a noteworthy threat of more sell-offs.
