Trump-themed MAGA coin drops 8% as Joe Biden drops out of presidential race

The American political landscape underwent major shifts as the incumbent Joe Biden withdrew from the 2024 presidential election against his arch-rival Donald Trump.

What happened: This major development has sparked new volatility in coins based on former President Trump, who is seen by some as a proponent of cryptocurrency.

Maga Coin, rooted in Trump’s “Make America Great Again” movement, fell 8% in the past 24 hours. The Ethereum ETHThe trading volume of -based tokens increased by 140% in the past 24 hours to $19 million, indicating hectic selling.

The negative reaction could be related to Biden’s departure. Cryptocurrency bettors have been betting against Biden for a while, and even before the formal announcement, the chances of him dropping out of the race had quickly increased. Polymarket.

On the other hand, a Sunny SOL/USD-based memecoin, Donald Trump, rose 53% in the past 24 hours, with volumes increasing 265%.

Also see: Analyst Predicts Bitcoin Will Surge 83%, But There’s One Big Catch: ‘We’re Going to Get That Continuation As Long As…’

Why it matters: Trump-themed coins have surged in value this year, thanks in part to his support for the US cryptocurrency industry

His positive campaigning has helped garner support among advocates of the asset class, whether it’s his assurances that the US will become a crypto-friendly travel destination, his positioning as a “crypto president” or his acceptance of political donations in cryptocurrencies.

The chance that Trump would win the election was still overwhelmingly high, according to Polymarket, namely 65%. This indicates that the crypto market is optimistic.

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