Trump’s Memecoin TRUMP Unlocks 20% This Week! Could Trump Coin Trigger a Collapse in the Cryptocurrency Market?

TradingKey - The Trump Coin (TRUMP), which has already plummeted 30% over the past month, is bracing for further volatility as a substantial token unlock looms. On April 19, 40 million TRUMP tokens valued at $320 million are set to be unlocked, raising fresh concerns about intensified selling pressure amid ongoing market fragility linked to President  Trump’s tariffs.

According to Tokenomist, this linear unlock represents 20% of TRUMP’s current circulating supply. Token unlocks are typically viewed as bearish catalysts in the cryptocurrency space, as they flood the market with additional supply, often triggering large-scale sell-offs.

Market participants are increasingly anxious that such a high percentage of unlocked tokens could drive TRUMP’s price even lower.

Since its launch on January 18—just two days before President Trump’s inauguration—the price of TRUMP has plummeted from a high of $73.43 to just  $8.34, reflecting an 88.6% decline.

Unlike Bitcoin or Ether, which function as reserve assets or utility tokens within blockchain ecosystems, Trump Coin is a quintessential meme coin, driven largely by speculative trading and market sentiment rather than intrinsic value or utility.

The situation is further compounded by a broader sell-off across U.S. capital markets, as confidence in dollar-denominated assets continues to erode.  This wave of panic is now spilling over into the crypto sector.

Analysts at Bitfinex noted that recent macroeconomic relief has not meaningfully benefited Bitcoin or Bitcoin spot ETFs, with institutional sentiment remaining cautious in the near term. After record inflows in January, demand for cryptocurrency ETFs has cooled considerably, with several funds now experiencing net outflows in recent weeks.