Key Notes
- Despite this, the TRUMP Coin price rose only 6% and daily trading volumes dropped by 37%, reflecting skepticism.
- Prominent critics labeled it a “joke,” and allegations of insider trading emerged after reports of a financial advisor shorting TRUMP before switching to a long position.
- The muted market reaction to the announcement has raised doubts among investors, while some question the ethics and transparency of the project.
Donald Trump’s family-backed decentralized finance (DeFi) project World Liberty Financial announced a collaboration with TRUMP Coin, with Eric Trump revealing a plan to purchase the Official Trump meme coin. “I am proud to announce the $TRUMP Meme Coin has aligned with World Liberty Financial,” said Eric Trump in his post on the X platform.
Additionally, Eric Trump also announced that World Liberty Financial would add a significant amount of TRUMP Coin “for their long-term Treasury”. Following the development, the TRUMP Coin appreciated by a modest 6% without any huge bullish candles, as expected by the crypto community.
As of now, the TRUMP coin is trading back above the $10.00 support level. The daily trading volume has dropped by 37% to $604 million. This suggests that today’s upside is unlikely to be sustained moving forward, unless it receives sufficient support from the bulls.
Interestingly, the recent announcement from Eric Trump follows an exclusive dinner and reported meet-and-greet held on May 23 at the president’s golf course in Virginia, attended by the top 220 holders of Trump’s memecoin. Back then, the TRUMP Coin price pumped 13% in a day, however, the rally couldn’t sustain much.
Investors Share Skepticism for TRUMP Coin and WLFI Collaboration
While some experts celebrated the development, others shared their skepticism. The muted market reaction of the TRUMP price to the news has raised eyebrows among crypto commentators, with some questioning the lack of a significant price growth. Crypto analyst Pluid remarked in a June 6 post on X, “The coin hasn’t pumped on this news – not a good sign at all.”
Additionally, others also questioned the deal’s ethics and transparency. Prominent crypto trader Clemente labeled the collaboration a “joke,” while others speculated about a potential scandal and looming legal challenges.
Adding fuel to the controversy, allegations of market manipulation and insider trading are swirling after a World Liberty Financial advisor reportedly shorted TRUMP with $1 million before switching to a long position.
ogle(@cryptogle), the advisor of @worldlibertyfi, closed his short position on $TRUMP at a loss of $188K.
Then he flipped to long $TRUMP 4 hours ago, with a liquidation price of $8.https://t.co/K8fEhxAMV4 pic.twitter.com/DAkCwCdtIu
— Lookonchain (@lookonchain) June 7, 2025
Earlier this week, the company behind the TRUMP meme coin announced the decision to launch the TRUMP wallet. However, this announcement turned controversial, stating that Trump Media has nothing to do with it.
On the other hand, Ripple CTO David Schwartz said that despite the Trump family denying links, some data shows obvious partnerships.
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Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
Source: https://www.coinspeaker.com/will-trump-meme-coin-recover-from-85-crash-with-world-liberty-financial-buy-plan/
