TRUMP tokens, one of the most prominent political cryptocurrencies, are entering a big trading day as 20% of their total supply, or about $370 million, is set to unlock tomorrow, according to data from Messari. The unlock will add 40 million new tokens to circulation, marking the project’s final and largest planned supply increase.
New Supply Pressure Increases Amid Downtrend
The upcoming major unlock event puts a lot of pressure on an already bearish market, with TRUMP hovering just above a key support zone and showing signs of weakening momentum. The next 24 hours could shape the short-term direction of the token, especially given the cautious market sentiment.
As of press time, TRUMP is trading around $9.09, down 4.42% on the day. Despite opening near its intraday high of $9.53, the token quickly encountered strong selling pressure and rejected at that price. The price chart shows a series of lower highs and lower lows, which is typical of a prolonged selling trend.
Risk of Breaking Support If Selling Continues
The short-term support zone of $9.00 to $9.05 is the last line of defense for bulls. However, this price zone has been tested several times and is becoming increasingly fragile. If this support level is broken, TRUMP could fall further. Meanwhile, the nearest resistance zone is at $9.53 – the intraday high and is currently being strongly defended by bears.
Market Indicators Reflect Weakness
TRUMP's market capitalization has fallen to $1.81 billion, representing a 4.42% drop in price. Trading volume for the day also fell 12.42% to $455.3 million, indicating a waning investor interest, or wait-and-see attitude, ahead of the unlock event.
The Volume/Market Capitalization (Vol/MC) ratio is currently at 25.14%, a relatively high figure, reflecting high speculation but showing no signs of long-term accumulation.
Technical Analysis: No Clear Signs of Recovery Yet
The RSI is at 46.03, below the neutral threshold of 50, reflecting a lack of clear bullish momentum.
MACD recorded a slight bullish crossover, but the histogram is still in the negative zone – indicating weak buying power and the market is still in the accumulation or sideways phase.
Conclude
With a large-scale unlock looming, TRUMP is on a delicate line between support and collapse. Failure to hold the $9 zone could see further selling pressure weighing on the price. Given the low volume and lack of momentum, investors should closely monitor the price reaction over the next 24 hours – this could be a key point in determining the short-term trend of the TRUMP token.
