Trumpcoin Plunges 30% After Hype-Filled Crypto Gala Dinner Promises Market Manipulation

The latest market data shows a sharp decline in Official Trump TRUMP $12.85 24h volatility: 0.3% Market cap: $2.57 B Vol. 24h: $950.87 M token prices. This twist comes shortly after the much-hyped crypto dinner that U.S. President Donald Trump hosted. Market observers are now showing concerns about potential market manipulation. By Benjamin Godfrey.

The latest market data shows a sharp decline in Official Trump TRUMP $12.85 0.3% market cap $2.57 B vol. 24h $951.17 M token prices. This twist comes shortly after the much-hyped crypto dinner that U.S. President Donald Trump hosted.

As reported by Benzinga, the highly publicized Trump crypto gala took place on Monday. Following the dinner announcement, the TRUMP token rose by 30%. The event saw the attendance of the top 220 holders of TRUMP, a meme coin that has attracted global attention in recent months.

The dinner was planned to bring top token holders together and celebrate the asset's progress. Reports show that the event had international appeal, with 72% of attendees coming from outside the United States.

According to reports, guests held around $394 million worth of the TRUMP token before the event. The top 25 wallets had VIP access, which included a private session with President Trump before the dinner.

However, things started to go south even before guests arrived. For context, market figures showed signs of a selloff early on. Despite the exclusive invitation, blockchain data shows that 92,220 eligible wallets sold off their entire holdings before the dinner. The sudden move triggered a 14.84% price drop, bringing the token down to $13.36.

Following the event, the number of tokens held by the largest wallets dropped from 11.3 million to just 7 million. Many saw this drop as a strategic sell-off by insiders who exploited the gala's hype.

It is worth noting that public reaction to the event shows just how unpredictable meme coins can be. They rely heavily on celebrity publicity. For instance, Binance founder Changpeng "CZ" Zhao recently triggered fresh meme coin hype on X after asking a simple question about dogs.

Interestingly, that one post led to creation of an entirely new meme coin project. This indicates that much of the meme coin space runs on hype rather than solid foundations.

Political Backlash Overshadow the Trump Coin Gala

It is worth mentioning that apart from the financial impact, the TRUMP token dinner drew heavy criticism from lawmakers and protesters. Outside the event, demonstrators accused the president of using digital assets for questionable political dealings with some members of the United States Congress, reiterating their concerns.

Senator Chris Murphy openly criticized the event, calling it a corrupt setup. He pointed out that offering access to the president in exchange for crypto investment created a dangerous link between politics and financial speculation. Murphy demanded that the full guest list be made public if the dinner was legitimate.

Trump's meme coin is designed to facilitate corruption. You can pay Trump secretly, which gets you secret special access to the President. If Trump's dinner with the top coin buyers was legit, he would release the list of attendees. But it's corrupt. So the list stays hidden. pic.twitter.com/i7j4Nqbezu

— Chris Murphy 🟧 (@ChrisMurphyCT) May 22, 2025

Based on market sentiment, the Official Trump coin, like many other meme coins, usually rises and falls based on hype. Many of these coins do not have strong use cases, so their value often changes with public mood or big events. This makes them risky for most investors according to critics.

This reveals the intention behind Democratic lawmaker Sam Liccardo's introduction of a bill to ban government officials from launching memecoins. This proposal was introduced after President Trump and the First Lady released their memecoins earlier this year.

Benjamin Godfrey is a blockchain enthusiast and journalist who relishes writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desire to educate people about cryptocurrencies inspires his contributions to renowned blockchain media and sites.

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