The memecoin TRUMP has experienced a significant decline, falling by 5.08% in the past day. This drop comes as five prominent investors, referred to as whales, have deposited a total of 126,000 TRUMP tokens into the Bybit exchange, raising concerns about the future price movement of the token.
Initially, excitement surged following President Trump’s announcement of a dinner for the top holders of Official Trump tokens, leading to a price spike that reached $16.43. However, recent shifts in market sentiment have resulted in a downward trajectory over the last six days.
The whales, who previously increased their holdings, now appear to be exiting the market. This trend raises alarms among recent buyers, suggesting a growing caution regarding the token’s future.
According to reports, these five whales deposited their tokens worth approximately $1.64 million into Bybit, with intentions to sell at around $9.71. Given their deposit price of $13.02, this would yield a profit of about $420,000 at the current market rate.
Generally, when large holders transfer their tokens to exchanges, it is seen as a bearish indicator. If they proceed with selling, it could create significant selling pressure, likely pushing the price downward if the market cannot absorb the sales.
Currently, analysis indicates that TRUMP is under considerable downward pressure, as sellers appear to have regained control in the market. A negative order delta suggests that more sell orders are being executed, reflecting strong bearish sentiment.
This trend has been corroborated by recent bearish crossovers in both the RSI and Stochastic indicators. If the trend continues and these whales opt for selling, TRUMP’s price may decline further, potentially finding support around $11.4.
A breach of this crucial level could lead to prices falling below $10, potentially approaching $9.2. The outlook could shift positively if these whales return to accumulation.