Nearly one million holders of the TRUMP memecoin lost $3.8 billion: market analysis
The memecoin market continues to reveal its two-faced nature, and the TRUMP token is the clearest example of this. As of the end of June, approximately 989,000 investors who bought this asset found themselves deeply in the red. The total losses for this group exceeded $3.81 billion. This is a classic "enter for liquidity, exit for cash" scenario that we observe with every new wave of hype.
The scale of the tragedy is striking: roughly two-thirds of all token buyers have either already realized losses or are holding the asset with unrealized losses. By the end of June, the price of TRUMP had fallen to $1.76, 97% below its all-time high of $75.35. This dynamic is typical of memecoins, where fundamental value is absent and the price is sustained solely by a wave of emotions and news sentiment.
Who made money from the crash?
However, not everyone lost. About 500,000 wallets managed to achieve a total profit of nearly $4 billion. As expected, the lion's share of earnings is concentrated in the hands of a narrow group of early buyers and algorithmic traders. Retail investors, as usual, entered the market at the peak of the frenzy, when the price was already inflated to the maximum. This is a classic pattern of "smart money exits, retail enters."
Trump family income: regardless of the price
Notably, U.S. President Donald Trump profited from the project regardless of the price crash. According to a published financial disclosure, income from the memecoin amounted to $636 million. The organizers received a fee from each trading transaction, so profit was generated even amid the asset's price decline. Trump actively promoted the token on the Truth Social network, urging supporters to join the "TRUMP community." The White House administration, in turn, denies allegations of personal gain by the president, citing a strategic goal to make the U.S. a global center of the crypto industry.
Family crypto portfolio under threat
The Trump family is also involved in the World Liberty Financial project. And here, the picture is no better: out of more than 26,000 analyzed wallets, about 85% of WLFI token holders are in the red. Lawyers do not rule out that after the end of his presidential term, Trump may face class-action lawsuits. The warning on the memecoin's website stating that the token is not intended for investment is unlikely to provide reliable protection in court.
The situation with TRUMP is not just another story about a "pump-and-dump." It is a clear example of how a political figure can leverage their authority to promote a high-risk asset, leaving retail investors with empty wallets. As an analyst, I see a systemic problem here: as long as crypto market regulation remains fragmented, such schemes will repeat, and retail players will always be the ones to suffer.