- The cryptocurrency market has recently been influenced by significant legal developments.
- Former President Donald Trump was found guilty of 34 charges related to falsifying business records.
- This verdict has caused notable volatility in meme coins associated with Trump and Joe Biden.
Discover how Donald Trump’s recent conviction has impacted the cryptocurrency market, causing fluctuations in meme coins linked to political figures.
Trump’s Conviction and Its Immediate Impact on Meme Coins
On May 30, a Manhattan jury found Donald Trump guilty of 34 charges related to falsifying business records. This landmark decision marks the first time a former U.S. president has been convicted of a felony. The case centered around hush-money payments made to Stormy Daniels, a pornographic film actress, before the 2016 election. Trump’s former lawyer, Michael Cohen, facilitated the $130,000 payment to Daniels in exchange for her silence regarding an alleged affair with Trump. Despite Trump’s vehement denials and his criticism of Judge Merchan, who presided over the case, the conviction stands, with sentencing scheduled for July 11. While Trump faces potential jail time, legal experts suggest a fine is a more probable outcome.
Volatility in Meme Coins: MAGA and TREMP
The conviction has had a pronounced impact on meme coins associated with Trump. MAGA (TRUMP) experienced significant volatility, initially dropping from $13.50 to $11.20 following the verdict. However, it quickly rebounded, reaching an all-time high of $16.80 before stabilizing around $13.90, according to CoinGecko data. Similarly, Donald Tremp (TREMP) saw its value fluctuate, first declining by 5% and then rallying by 18% to $1.38. As of now, TREMP is trading at approximately $1.18, reflecting a 6% daily increase.
Impact on Biden-Linked Meme Coins
Interestingly, meme coins linked to Joe Biden also experienced heightened volatility. The price of Jeo Boden (BODEN) dropped by 15% on a daily basis, indicating that the legal proceedings involving Trump have broader implications for politically-themed cryptocurrencies. This volatility underscores the sensitivity of the crypto market to political events and legal outcomes.
Is Trump the Crypto Choice?
Despite his historically anti-crypto stance, Trump has recently softened his position on digital assets. Earlier in 2024, he stated that he could “live” with Bitcoin (BTC), signaling a more favorable view of cryptocurrencies. Trump has since positioned himself as a pro-crypto candidate, contrasting his stance with that of Joe Biden and his administration, whom he accuses of being anti-crypto.
“I’m fine with it. I want to make sure it’s good and solid and everything else. But I’m good with it. And if you like crypto in any form (and it comes in many different forms), if you are in favor of crypto, you better vote for Trump.”
Trump has gone further, promising to foster a thriving environment for Bitcoin and other cryptocurrencies in the U.S. if he is elected as the 47th president. He has also vowed to oppose the creation of a central bank digital currency (CBDC), aligning himself with crypto enthusiasts who favor decentralized financial systems.
Conclusion
The recent conviction of Donald Trump has had immediate and significant effects on the cryptocurrency market, particularly on meme coins associated with political figures. While Trump’s legal troubles have introduced volatility, his evolving stance on cryptocurrencies could influence his support among crypto investors. As the 2024 presidential election approaches, the intersection of politics and cryptocurrency will likely continue to be a focal point, with potential implications for market stability and investor sentiment.
