Melania Token Team Sells $1.5M, Price Recovers 21%

The team behind the Official Melania Meme (MELANIA) token has sold over $1.5 million worth of tokens in the past three days. This selling activity suggests a programmatic selling strategy that could potentially exert downward pressure on the token's price. On April 28, the team sold $930,000 worth of tokens, following a previous sale of $630,000 two days prior. This pattern indicates the use of a dollar-cost averaging (DCA) strategy, which involves selling a predetermined amount of an asset at fixed intervals. This strategy is often employed to manage emotional decision-making in investments.

The DCA strategy was flagged by crypto intelligence platform Lookonchain, which noted that the Melania team did not simply add or remove liquidity to sell MELANIA tokens but also employed a DCA strategy for direct sales. Despite the team's selling activities, the MELANIA token experienced a 21% recovery over the past seven days. However, it remains approximately 96% below its all-time high of $13.7, which was recorded on January 20.

Meanwhile, some large investors are placing bets on the decline of the Official Trump (TRUMP) memecoin's price. A newly created whale wallet deposited $1.33 million worth of USDC stablecoins to open a short position with 2x leverage at $14.7. This short position would be liquidated if the Trump token's price rises above $21.50. This activity highlights the speculative nature of memecoins and the potential for significant price volatility.

Memecoins have been a prominent investment narrative in the cryptocurrency market, capturing around 27% of global investor mindshare in the first quarter of 2025. This reflects the market's tendency to recycle old narratives, as artificial intelligence tokens held over 35% of investor mindshare during the same period. The launch of the TRUMP token and its underwhelming performance may signal the end of the memecoin supercycle, as weekly usage activity on the memecoin launchpad Pump.fun has declined significantly from 2.85 million active wallets in January to 1.44 million by the end of March.