Memecoins inspired by Donald Trump, the leader of the Republican Party, are currently experiencing significant gains as Election Day approaches. These memecoins, which fall under the PoliFi category of cryptocurrency tokens, are rallying by 100% to 120% with just hours left before the U.S. presidential election. Trump-themed memecoins, including MAGA Hat, MAGA (TRUMP), Doland Tremp, Super Trump (STRUMP), and Trump Coin, have all posted notable increases in value.
The overall market capitalization of PoliFi tokens has risen by 5.4%, surpassing $685 million in valuation. Political memecoins have gained traction since the commencement of the campaign trail for both presidential candidates. Currently, Donald Trump-inspired tokens are performing slightly better than those associated with Kamala Harris.
The upcoming U.S. election is a critical event, and its outcome is expected to influence the future of the cryptocurrency industry. On November 3, Trump-themed memecoins saw a dip in value following controversial remarks made by Donald Trump at a rally in Milwaukee. However, most of the tokens have since recovered from that decline.
The price movements of Trump-themed tokens indicate that investors largely favor Trump winning the November 5 election. This sentiment is also reflected on the prediction market Polymarket. Notably, tokens like DJT surged by 129.1%, making it the top performer, while Pepe (TRUMP) witnessed gains of over 124.3% in the same timeframe.
Other popular meme coins, such as MAGA, TRUMPCOIN, STRUMP, MAGA Pepe (MAPE), and TREMP, achieved gains of 58.4%, 46.5%, 36.9%, 28.2%, and 14.3%, respectively. Donald Trump is often viewed as the “crypto candidate” and has pledged during his campaign rallies to establish a strategic Bitcoin reserve aimed at mitigating the United States’ $35 trillion debt.
In his speech at the Bitcoin conference in Nashville, Trump promised to position the United States as the world leader in cryptocurrency, likening the emerging industry to the steel factories of his youth. PoliFi tokens are primarily driven by the hype surrounding the candidates they represent. When momentum surges and a candidate gains an advantage in the polls, the associated PoliFi tokens tend to rise in value. Conversely, prices usually decline when the excitement diminishes.
PoliFi tokens are also referred to as event tokens due to their temporary nature, often losing relevance at the end of an election season. While most PoliFi tokens are meme coins that lack real-world utility, experts believe that some could evolve into significant players in the cryptocurrency space if they develop practical applications and move beyond their memecoin identity.