Spot selling volume surged to 1.91 million, exceeding buying volume, leaving a delta of -288 thousand.
After rising to $15.93 during Trump’s dinner, TRUMP struggled to achieve further gains. As a result, the meme coin sharply declined over the past week.
After peaking at $15.93, the meme coin experienced a steady decline, dropping to $10.43.
At the time of publication, its price was trading near $10.74, down 7.24% this week and 16.47% on the weekly chart. This trend indicates increasing downward pressure and fading interest from retail investors.
While prices have sharply declined over the past week, these losses have created an ideal buying opportunity, especially for whales.
Whales buy on the dip - Rise or Bait?
In this way, TRUMP$ whales entered the market and are buying on the dip.
According to Onchain Lens, a recently created wallet withdrew 425,764 TRUMP tokens worth $4.53 million from Binance.
This type of buying, while prices are in a continuous decline, signifies a high accumulation of convictions. Naturally, this kind of movement can spark similar interest among retail investors.
Source: CoinGlass
There’s more. Despite the price drop, the Netflow indicator for Trump Coin remained negative throughout the week. This means that the number of tokens leaving exchanges was greater than the number of tokens entering, which is typically a bullish signal during downturns.
But what about the charts? They still look grim.
Despite this massive accumulation, other market participants remain largely pessimistic. Looking at spot trading activity, we find that sellers are increasingly dominating the market.
On the Coinalyze platform, selling volume exceeded 1.91 million TRUMP$ within 24 hours, leaving a negative delta of -288 thousand.
Source: Coinalyze
Even buyers who may enter the market in the future often take short positions.
This is due to the TRUMP funding rate turning positive over the past day. A negative funding rate indicates that the majority of futures investors are taking short positions.
This indicates that those expecting a further price drop are dominating the market. Thus, the market trend has significantly shifted to a bearish direction.
Source: Coinalyze
What is the future of the meme coin?
According to analysis, TRUMP$ is experiencing strong bearish momentum. This bearish momentum is reflected in the declining MACD line.
The MACD line slipped below the signal line, both residing in a deep negative zone. This is a clear sign of strong bearish momentum.
Source: TradingView
Furthermore, the 100-day exponential moving average is about to cross below the 50-day exponential moving average - another bearish crossover that usually precedes further declines.
The completion of this downward movement in the market will be confirmed. These conditions could push Trump’s stock below $10, finding the next support around $9.64.
To reverse this downward movement, buyers need to regain control of the spot market and push for a close around $11.32.