TRUMP Memecoin Plunges, ADA Rises Amid Crypto Market Volatility
President Trump's memecoin, TRUMP, has seen a significant drop in market share, sparking volatility and mixed reactions in the crypto market today. Meanwhile, altcoins like ADA are experiencing increased capital inflows and growing market dominance.
TRUMP's market share has plummeted from a high of 60% in January to just 18%. This decline has led to a surge in market-wide volatility, with ADA's hourly intraday volatility reaching over 600%. The crypto derivatives market, previously dominated by native players, is now seeing increased competition from traditional venues, offering broader growth opportunities for altcoins.
The establishment of the Strategic Bitcoin Reserve by President Trump in 2025 briefly boosted Bitcoin prices but led to mixed reactions and uncertainty in the altcoin market. The reserve holds confiscated cryptocurrencies, including Bitcoin and altcoins like Ethereum, XRP, Solana, and Cardano, aiming to stabilize supply. However, the lack of active US purchases limited sustained demand and price increases. Despite this, the Kaiko EAGLE index has jumped nearly 30% since Sunday and over 226% since 2023.
Digital asset treasury companies are driving crypto's rally this year. Firms like Strategy, BitMine, and Metaplanet have been steadily accumulating Bitcoin, Ethereum, and altcoins. Michael Saylor's Strategy has added over 220K BTC since the U.S. election, although MSTR shares have shed nearly 15% YTD. President Trump's announcement of a U.S. strategic crypto reserve, including XRP, SOL, ADA, BTC, and ETH, has further fueled market interest.
The decline of TRUMP's market share has sparked volatility and uncertainty in the crypto market today. Despite this, altcoins like ADA are seeing increased capital inflows and growing market dominance. The establishment of the Strategic Bitcoin Reserve has had a mixed impact on the market, while digital asset treasury companies continue to drive crypto's rally this year.
