Bernstein Research clarifies that the project has the potential to be long-lasting.
However, the firm urges that the initiative become less centralized.
A new report says that the TRUMP memecoin, launched by the new president of the United States, represents a turning point in the way the country and the rest of the world approach cryptocurrencies. This is suggested by Bernstein Research, a well-known financial research firm.
Recently, Donald Trump surprised the crypto community by presenting his project backed by the Solana network. For many, this move represents a crucial step toward leaving behind the restrictive stance of the Joe Biden administration.
On Saturday, TRUMP reached a capitalization of 73 billion dollars. However, by Sunday, his value had plummeted by almost 40% – at the time of writing, TRUMP has a market value of $9.978 billion. Notably, that same day, Melania Trump launched her own memecoin, MELANIA.
Bernstein’s analyst team, led by Gautam Chhugani, expressaccording to a TradingView post: “This marks the beginning of a new regulatory era, in which governments perceive cryptocurrencies as a tool to directly connect with the masses.” Furthermore, they suggested that The launch of Trump’s memecoin is a clear message for crypto asset developers: «Build in the United States without fear of launching tokens; “A new regulatory era for cryptocurrencies has begun,” they stated.
However, the report makes it clear that although the project has the potential to be long-lasting, its long-term viability will depend on the design of the token. In particular, they suggest that the initiative be made “less centralized,” given that 80% of your supply is controlled by a single entity. This percentage is managed by CIC Digital, an organization belonging to the Donald Trump Revocable Trust.
TRUMP’s arrival has caused a huge impact on the cryptocurrency market, reaching an all-time high of over $75 on its first day. The rapid euphony generated by its release on the market caused many investors to begin looking for where to acquire it. In just two days, TRUMP was listed on Binance, the world’s largest exchange, and other major platforms such as Bybit, Kraken, KuCoin and Crypto.com. Additionally, it can also be traded on major Solana decentralized exchanges such as Raydium and Meteora VD.
Despite the impressive 1000% increase in its initial price, it is important to remember that TRUMP does not have solid support beyond the support of the new presidentwhich makes its value purely speculative.
