The TRUMP cryptocurrency has experienced a significant decline, erasing most of its value within a month due to ongoing tariff wars initiated by the U.S. President.
TRUMP reached a new all-time low of $14.29, dropping 11% in 24 hours after losing the critical $16.00 support level.
Bearish market conditions have exacerbated the downturn, preventing any meaningful rebound.
Consequently, traders are shifting their stance, now favoring short positions over long bets.
Funding rates for TRUMP have declined to their lowest levels since mid-January, signaling a surge in short contracts. This shift indicates that traders are betting on further losses rather than a potential rebound. With fewer investors willing to take long positions, selling pressure continues to dominate.
The lack of price stability has fueled bearish sentiment across the market. Traders are capitalizing on the downtrend rather than waiting for a reversal. Without a change in market conditions, this negative outlook is likely to persist, keeping TRUMP’s price under pressure.
The only way to invalidate the bearish thesis is for TRUMP to reclaim the $19.58 support level. If buyers return, the price could rise toward $26, partially recovering recent losses. However, given the current sentiment, a strong bullish reversal appears unlikely without a major shift in market conditions.
U.S. President Donald Trump announced plans to impose new 25% tariffs on all steel and aluminum imports into the U.S. on Monday, affecting all trading partners, including Canada and Mexico.
The largest sources of U.S. steel imports are Canada, Brazil, and Mexico, followed by South Korea and Vietnam, according to government and American Iron and Steel Institute data.