Fake news about Official Trump (TRUMP) token utility caused chaos and losses

A post from the DB account on X caused a short–term spike in the price of Official Trump (TRUMP). Later, DB explained the account had been hacked, but not before causing trading chaos and losses. 

A post by DB confused the crypto community, suggesting the meme token Official Trump (TRUMP) may have utility in the future. Just minutes later, DB explained the message was due to a hacked account. 

Obviously hacked

Do not trust any messages for now

Unclear what happened, 2FA/Yubikey etc all enabled

Will post details when I get them

— db (@tier10k) March 13, 2025

DB is still investigating the nature of the hack, as the access to the X account was extremely improbable. Hacked X accounts continue to pose risk, often causing trading anomalies or posting fake tokens. The news of TRUMP token utility took under an hour to spread before being debunked. 

Others were skeptical since the posting did not look like a hack. The promotion of TRUMP, instead of a new CA for a meme token, led to suspicions of insider information. For now, the effect on the price of TRUMP was short-lived and limited. The DB post was active for around 10 minutes, but that was enough to spread as probable news. 

Having TRUMP token utility could increase demand and turn the token into a more stable cult. For now, TRUMP remains highly liquid and actively traded, but still risky and reflecting every setback of the real Trump presidency. The recent rally and crash may be another blow to the token’s reputation. 

Whale trades followed the DB message

The utility message caused an immediate reaction from traders, unfortunately leading to losses. One whale trader withdrew over 504K USDC from Binance to snipe TRUMP in expectation of a bigger rally. Within two minutes, the wallet holder sold at a loss of around $26,000. Whale buying happened soon after DB’s message on X, as buying continued for a while after that. 

One of the top TRUMP whales, with the biggest realized gains, bought immediately after the crash. 

Previously, the whale realized $64.2M in gains from the coin, topping the chart with the biggest lifetime gains. Despite the rapid appreciation, TRUMP was also seen as a value extraction token, allowing whales to sell into the hype and realize profits.

The second most active whale, however, had a selling strategy, continuing to shed TRUMP during the recent rally and after that. The trader realized gains of $64M from TRUMP, with concentrated selling during signs of a rally.

TRUMP goes through a short-lived rally

The influence of DB caused a short-lived rally for TRUMP. The token spiked above $11 briefly, revealing that whales were ready to jump into meme tokens when there were signs of activity or social media hype. The overall gain was 20% within minutes, reportedly allowing long traders to lock in significant gains.

TRUMP had a spike in open interest, from $196 to around $226M, with new leveraged positions opened around the time of the DB message. The influential crypto news account spread the message immediately, potentially causing a cascade of copy trades. 

Later, TRUMP traded at $10.73, extending its downward trend. TRUMP was losing precisely because it relied on short-term meme hype and did not offer any utility, staking, or other benefits. The token has not been deposited into Solana’s Kamino lending and has not been tapped for value in other ways through DeFi. 

TRUMP still trades with daily volumes over $1.15B, but traders have lost hope of recovering the previous highs. The token launched and caused peak activity for memes, later leading to a rapid loss of enthusiasm. 

The recent price move also liquidated all short positions for the coin within minutes, further causing traders to suspect market manipulation. There is no direct evidence of positions taken by DB or whether there were plans to go long and short on TRUMP for maximum gains. 

The token continues to see elevated whale activity on the decentralized market, with sellers surpassing new buyers. 

While TRUMP saw volatile trading, PWEASE, the unofficial token linked to Vice President J.D. Vance, was expanding. PWEASE moved up from $0.017 to $0.041. MELANIA traded at $0.69, with significant volatility, unaffected by the recent TRUMP rally.

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