Former President Donald Trump’s recent pro-cryptocurrency statements have sent shockwaves through the market, particularly boosting meme coins inspired by his political brand.
At a recent NFT event, Trump made a bold statement that caught the attention of crypto enthusiasts: “If you’re in favor of crypto, you better vote for Trump.”
TLDR
- Trump made pro-crypto statements saying “If you’re in favor of crypto, you better vote for Trump” at a recent NFT event.
- This caused the MAGA cryptocurrency, inspired by Trump’s “Make America Great Again” slogan, to surge over 144% since the event.
- MAGA outperformed major cryptocurrencies like Bitcoin, Ethereum, and Dogecoin during this period.
- One trader reportedly made $2.7 million trading MAGA in just 3 days, with a 505% return on investment.
- Trump’s political actions and support for crypto, including accepting crypto donations, have significantly influenced the market, especially meme coins associated with him.
This remark came as part of Trump’s efforts to appeal to a growing demographic of cryptocurrency supporters in the lead-up to the presidential election.
Trump’s campaign has already announced that it will accept election donations in cryptocurrencies, making it the first major party campaign to do so.
Trump’s words had an immediate and significant impact on the performance of MAGA Coin, a cryptocurrency rooted in his “Make America Great Again” slogan. At the time of his statement, MAGA Coin was valued at $4.30 with a market cap of just over $180 million.
However, in the weeks following Trump’s remarks, the coin has skyrocketed by an impressive 144%, reaching a value of $12.47 and a market cap of nearly $550 million.
This exponential surge in MAGA Coin’s value far outpaced the gains of market heavyweights like Bitcoin, Ethereum, and Dogecoin during the same period. In fact, MAGA Coin was the second-best performing meme coin last month, trailing only Pepe (CRYPTO: PEPE).
The impact of Trump’s pro-crypto stance extended beyond MAGA Coin itself. According to on-chain tracker platform Lookonchain, one crypto trader reportedly made a staggering $2.7 million in just three days by trading MAGA.
The trader initially spent $537,500 to purchase 6 billion MAGA coins on May 24 and 25. They then sold 1.5 billion MAGA for 744,000 USDT, taking profits while still holding 4.5 billion MAGA coins valued at $2.51 million. This remarkable trade resulted in a return on investment (ROI) of 505%.
Trump’s influence on the crypto market is not limited to MAGA Coin and its derivatives. His political actions and continuous support for the crypto industry have had a broader impact on the sector.
In addition to accepting crypto donations, Trump has vowed to ensure a conducive environment for cryptocurrencies in the United States if elected and has reiterated his promise to restrict central bank digital currencies.
This pro-crypto stance marks a significant shift from Trump’s previous position a few years ago when he called Bitcoin “a scam.” Many analysts believe that Trump’s newfound support for cryptocurrencies is a strategic move to capitalize on President Joe Biden’s administration’s tougher actions toward the industry.
A recent survey by investment firm Paradigm revealed that 48% of crypto owners plan to vote for Trump, compared to 39% for Biden and 13% undecided.
