Trump Coin Surges 117% as US-China Trade Optimism Fuels Crypto Rally

Meme coins are stealing the spotlight again - this time with geopolitical tailwinds. Trump Coin (MAGA), the satirical political token, posted triple-digit gains as trade tensions between Washington and Beijing showed signs of thawing.

The rally comes as no surprise to degenerate traders who've turned political volatility into a speculative art form. When the White House announced breakthrough negotiations, crypto markets flipped risk-on faster than a DC lobbyist changes allegiances.

Technical indicators suggest the pump may have legs. The token broke through its 200-day moving average with volume spikes reminiscent of the 2024 election cycle frenzy. Of course, in crypto-land, fundamentals are whatever Twitter says they are today.

As one hedge fund manager quipped: 'We've reached peak financialization when geopolitical progress gets measured in meme coin percentages.' The real question isn't whether this rally is justified - but which influencer will take credit for it first.

What’s Behind Trump Coin’s Price Rally?

Trump Coin’s latest price surge comes amid positive trade talks between the US and China. The crypto market faced its most significant single-day liquidation earlier this month after the two countries engaged in a trade dispute. The market slightly recovered after President Trump said that the two nations would finalize a new trade deal. However, the recent positive trade developments have led to a wider market rally. TRUMP is among the few crypto assets trading in the green zone today.

The market dip is also surprising given that the Federal Reserve announced another interest rate cut after the FOMC meeting. The dip could be due to Federal Reserve Chair Jerome Powell giving economic warnings during his speech. Powell stated that inflation has risen, and economic growth has been slow. Powell’s speech may have spooked investors away from risky assets, despite an interest rate cut. TRUMP Coin, however, may be riding the trade deal wave.

Given that the larger crypto market is in a slump, there is a high chance that Trump Coin’s price rally will also fizzle out. Bitcoin (BTC) is the market leader, and other assets tend to follow its trajectory. TRUMP’s rally is likely due to the trade deals with China, and may cool off as investors book profits.

CoinCodex analysts also paint a bearish picture for Trump Coin. The platform anticipates TRUMP’s price to fall to $5.73 on Nov. 8. Falling to $5.73 from current price levels will entail a correction of about 30.46%.