The Trump token, which recently hit an all-time high of $79, is now battling a strong downtrend. Currently trading at $29, the cryptocurrency has struggled to maintain momentum, with its value eroding in the weeks since its peak.
Sustained losses are causing many early enthusiasts and traders to reconsider their positions, with market sentiment around the altcoin growing increasingly pessimistic.
Trump traders are uncertain
Over the past five days, open interest (OI) for Trump has dropped significantly, decreasing by $200 million – from $1.14 billion to $962 million. This sharp contraction in OI indicates that traders are losing confidence in the altcoin. Such a reduction signals participation in the futures market, as fewer traders are willing to speculate on Trump’s price movements.
Altcoin’s waning relevance appears linked to its origins and association with Donald Trump. Although initially buoyed by the former president’s notoriety, the token’s appeal has since ruled that broader crypto trends have overshadowed its novelty.
Despite the drop in sentiment, some technical indicators suggest Trump may have room to recover. Notably, the Moving Average Convergence Divergence (MACD) has recently displayed a bullish crossover. This development hints at positive momentum in the broader cryptocurrency market, which could provide the tailwinds Trump needs to regain bases.
However, bullish signals from the MACD alone may not be enough. The token’s broader macro momentum remains uncertain, with inconsistent trading volumes and fluctuating market demand. Sustained growth would require strong market indices and renewed traffic confidence to counter its current trajectory.
Trump Price Prediction: Find a Violation
At the time of writing, Trump is holding just above his support at $26, trading at $29. The immediate challenge lies in reversing the $34 resistance level into support. Successfully violating this level could provide a basis for further gains, sparking cautious optimism among traders.
However, skepticism persists. For Trump to return to his ATH of $79, he would need a staggering 166% rally – an improbable feat given the trader’s waning and fading optimism. Altcoin’s reliance on speculative enthusiasm rather than utility further complicates its recovery prospects.
On a more optimistic note, if Trump manages to break through $34 and establish it as a floor of support, it could climb to $45. Violation of this critical level may prompt renewed bullish sentiment, paving the way for a broader recovery. This scenario, while plausible, would still require consistent market support and renewed interest from retail and institutional investors.
Disclaimer
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