- TRUMP-linked wallets moved $2.4M in TRUMP as traders leaned bearish.
- Price remained in a downtrend channel while Network Growth dropped to 1,348.
Official Trump [TRUMP] faced growing pressure as linked wallets to the memecoin team transferred $2.4 million worth of tokens across Coinbase, OKX, and Bitstamp within just 36 hours.
Among these, a massive $1.7 million deposit was made to Coinbase alone, raising eyebrows. This multi-platform distribution hints at a broader strategy, likely pointing to profit-taking or preparing for market exits.
While the memecoin traded around $9.38, these transfers have reignited fears of insider-led selloffs.
Therefore, this on-chain behavior may influence retail sentiment and intensify near-term volatility if selling continues.
Can TRUMP defend its support as the downtrend drags on?
Price action continues to trend within a clear descending channel, with the $9.21 level offering strong short-term support.
TRUMP has failed to reclaim the mid-channel line, and RSI remains below 40, indicating mild oversold conditions.
However, bulls have yet to step in with meaningful volume, leaving bears in control. Unless buyers defend the lower trendline and initiate a reversal, further compression within the channel remains likely.
Therefore, traders are watching this support closely, as a breakdown could trigger a sharp decline toward lower liquidity zones.
Source: Trading View
Shorts pounce as sentiment turns sour
On top of that, TRUMP’s Long/Short Ratio dropped to 0.83. Short positions made up 54.35% of trades, signaling growing bearish conviction.
Moreover, this shift in sentiment aligns with recent insider transfers, further validating concerns about short-term downside
Social chatter spikes
TRUMP’s Social Dominance surged to 3.77%, signaling increased chatter across crypto platforms.
However, this rise appears sentiment-driven rather than volume-backed, raising concerns about sustainability.
While spikes in social engagement often precede price volatility, they don’t always translate into upward momentum without on-chain confirmation.
Traders should be able to tell the difference between temporary noise and real momentum that could lead to a rally or trend reversal.
Source: Santiment
Are shrinking network inflows a red flag?
Despite growing media and community attention, the memecoin’s Network Growth dropped to just 1,348 new addresses.
This declining figure signals weakening user adoption, which undermines the token’s broader utility and long-term narrative. Without fresh demand and wallet creation, speculative rallies may lack support.
Not to mention, this disconnect between community engagement and actual wallet activity could keep bulls on the sidelines longer than expected.
Source: Santiment
Will liquidation zones between $9.60 and $9.80 act as resistance?
The Binance Liquidation Heatmap revealed dense short liquidations stacked between $9.60 and $9.80.
If bulls push the price into this range, it may trigger a cascade of stop-losses, amplifying volatility. However, the same region can also serve as resistance, especially if bears defend it with high leverage.
Therefore, any move above current levels must overcome this liquidation wall to confirm upside potential.
Source: CoinGlass
What’s the bottom line here?
The $2.4 million in TRUMP token transfers from linked wallets, coupled with falling Network Growth and a bearish Long/Short Ratio signal, wanes confidence.
Although Social Dominance is up, it lacks support from user expansion and strong buying.
Therefore, unless TRUMP can defend its $9.21 support and break through heavy liquidation zones near $9.80, the risk of continued downside persists. Bulls may need to step in quickly to avoid further momentum loss.
