TRUMP Token Faces 45% Supply Unlock July 18 Amid Sell-Off Fears

The TRUMP token is set to undergo a significant supply unlock on July 18, with 45% of its circulating tokens valued at nearly $959 million being released. This event has sparked concerns among market participants about potential volatility and downward price pressure.

Whale activity, including large transfers to Binance, suggests that some holders may be preparing for early liquidation. This activity has intensified fears of a sell-off, especially given the token's 85% decline from its peak. Data from Arkham Intel shows that MemeCore transferred over 1.39 million TRUMP tokens, valued at $13.35 million, to Binance just hours before the scheduled unlock. This transfer is seen as a preparatory step for potential liquidation, raising alarms about the timing and scale of sell-offs.

Despite these risks, strong political momentum and recent high-profile investments may stabilize the TRUMP token. Justin Sun’s recent $100 million investment has injected renewed confidence into the token’s prospects. Technical analysis from market observers suggests that if positive sentiment persists, TRUMP could maintain price support and even target a rebound to $40. This outlook hinges on sustained media attention and the token’s political affiliations, which may attract a dedicated investor base less prone to panic selling.

Historically, large-scale unlocks have precipitated significant price volatility, as holders often liquidate newly available tokens to capitalize on short-term gains or mitigate losses. The current market sentiment is cautious, especially given TRUMP’s steep decline of 85% from its all-time high. The balance between supply dilution and demand absorption remains delicate, with TRUMP’s market capitalization of approximately $1.9 billion underscoring the scale of the challenge ahead.

Similar unlock scenarios in other projects, such as Pi Network (PI), have demonstrated how large token releases can trigger sustained selling pressure, pushing prices to new lows. PI’s experience serves as a cautionary tale for TRUMP holders, emphasizing the need for strategic risk management during high-volume unlocks. Market participants should closely monitor whale transactions and trading volumes in the days surrounding the unlock to gauge the true impact on TRUMP’s price trajectory.

The July 18 unlock of 45% of TRUMP’s circulating supply represents a pivotal moment with significant implications for its market valuation. While the potential for a sharp sell-off is real, driven by increased token availability and early whale liquidations, TRUMP’s political backing and recent strategic investments could provide crucial support to stabilize prices. Investors are advised to remain vigilant, balancing the risks of supply dilution against the token’s unique market drivers. Close attention to trading patterns and sentiment shifts will be essential in navigating the post-unlock period effectively.