Mr. Donald Trump‑linked Memecoins Collapse in 2025 — Trump Token Down 80%+, Ms. Melania Token Near 99%

Overview: In a dramatic retracement during 2025, several high‑profile memecoins tied to political figures experienced severe losses. According to data from Company CoinGecko, Mr. Donald Trump's memecoin plunged more than 80% from its launch peak by December, while Ms. Melania's token nearly collapsed 99%. Other tokens such as WLFI and American Bitcoin posted comparable declines as initial hype evaporated without sustained demand.

What happened? The crash reflects a common lifecycle for celebrity‑linked tokens: intense speculation and rapid inflows at launch followed by sharp outflows when traders rotate capital or liquidity thins. In this episode, price action shows that early buyers were unable to find persistent support levels, and sell pressure overwhelmed thin order books. Company CoinGecko's aggregated on‑chain metrics and exchange volume snapshots traced a rapid drop in both traded volume and active addresses for the affected tokens.

Technical picture — resistance and support: Technical structures that had previously acted as support were repeatedly broken. For many of these tokens the market displayed classical signs of distribution: declining volume on rallies, widening spreads, and failure to reclaim key moving averages. Resistance levels that once capped rallies became further out of reach as liquidity dried, turning prior support into resistance zones. Traders who attempt to identify recovery should watch for re‑establishment of higher lows, rising sustained volume above resistance, and improving liquidity on reputable exchanges.

Market implications: While memecoins rarely carry fundamental backing, their collapses can ripple through smaller liquidity pools, amplifying slippage and contagion among low‑cap altcoins. The fall of these politically branded tokens underscores that celebrity association alone is insufficient to maintain price — long‑term value relies on utility, developer activity, or consistent demand. For risk managers, this event is a reminder to apply size limits, use limit orders, and prefer assets with deeper order books.

Regulatory and reputational considerations: High‑visibility collapses attract media scrutiny and may draw regulators' attention to token promotion practices, especially where celebrity endorsements influence retail inflows. Exchanges and platforms that hosted these listings may face reputational questions if listings lack basic liquidity thresholds or transparent tokenomics.

Investor guidance: For traders and investors, the episode illustrates the importance of:

• Due diligence: Verify tokenomics, liquidity, and team/developer signals rather than relying solely on celebrity branding.
• Position sizing: Limit exposure to highly speculative assets and use protective orders.
• Technical confirmation: Seek clear breakouts with volume confirmation before adding exposure; treat broken supports as warnings.

Outlook: Recovery for these tokens is uncertain without renewed demand, credible utility, or active development. Some memecoins occasionally stage micro‑bounces due to social media momentum, but sustainable rebounds typically require structural improvements. Market participants should expect elevated volatility and approach similar themed tokens with heightened caution.

Conclusion: The 2025 memecoin collapse tied to Mr. Donald Trump and Ms. Melania highlights the fragile nature of hype‑driven markets. Company CoinGecko's reporting makes plain that absent sustained demand, even headline‑grabbing projects can lose the majority of their market value in short order, reinforcing the need for disciplined risk management and technical vigilance.