🚨 $22M TRUMP Memecoin Alert: Hot Wallet Move Sparks Crash Fears—Can It Hold $8?

A sudden $22 million transfer of TRUMP memecoin to a hot wallet has traders bracing for impact. The politically-charged token now teeters on the edge—with $8 as the make-or-break level.

Will the 'diamond hands' narrative hold? Or will this become another cautionary tale of meme economics?

Pro tip: In crypto, even 'stablecoins' have more drama than a reality TV presidency.

Source: EyeOnChain/X

Although it may not be ascertained whether it is selling, but the recent development to investors make them cautious. On the event of these tokens going out to the open market, this may lead to short-term volatility.

How low can TRUMP memecoin fall?

Price action on the 4H chart showed TRUMP locked in a falling wedge, which is usually a bull reversal pattern in case of its confirmation.

But at $8.95, TRUMP was still close to the wedge resistance. Previous price movements were rejected several times, trying to reach $9.20 and were supported at $8.40.

The MACD lines were moving below the zero line with a bearish crossover. This showed that sellers dominated. Should the bears force a price below $8.40, chances are that the price may come back to $8.

Source: TradingView

Nonetheless, once the price goes above $9.20, one can expect a retest of $10.40 to the top of the wedge. The tightening formation implied volatility squeeze, which means it could blow off later.

The MACD bars histograms plummeted, supporting strong bearish efforts.

Nevertheless, for a TRUMP reversal, a clean break and retest of the $9.20 resistance zone needs to occur. Until this instant, the downside pressure was prevailing at the wedge structure.

Volume, OI declining as long liquidations rise

Since late May, both Open Interest and Volume have steadily declined, suggesting a drop in trader conviction.

In parallel, a spike in TRUMP long liquidations hinted at bulls getting wiped out, confirming waning buy-side momentum.

Source: CoinGlass

The CoinGlass Liquidations Chart showed a string of long squeeze bars, reflecting increased loss-driven exits. And while minor volume peaks brought relief rallies, they failed to generate sustained upside.

With reduced positioning and no influx of new participants, TRUMP faced a liquidity crunch. Bears held the reins in what looked like a thinning market.