Key Takeaways
- TRUMP’s price holds steady amid rumors that Trump’s media group is raising $3 billion to invest in crypto.
- Reports say TMTG aims to raise $2 billion in equity plus $1 billion in convertible bonds, but timing could change.
- The memecoin is trapped in a symmetrical triangle on the daily chart, signaling a balance between bulls and bears.
- The bear flag pattern on the TRUMP 4-hour chart suggests a potential downward move toward $11.69 or $10.89
The Official Trump (TRUMP) price continues to wobble around the same spot despite rumors that the U.S. president’s media network is raising $3 billion to invest in cryptocurrencies.
At press time, TRUMP’s price is $12.87, roughly the same level it held during the exclusive dinner on May 22. Following this recent development, here is what could be next for the meme coin.
TRUMP Trapped in Symmetrical Triangle
Both Reuters and the Financial Times (FT) reported on the potential fundraising on Monday, May 26. According to FT, Trump Media & Technology Group, which is affiliated with President Trump, plans to raise $2 billion in fresh equity and an additional $1 billion through a convertible bond to buy crypto.
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The report further added that Vice President JD Vance, along with Trump’s sons Donald Jr. and Eric, will meet investors in Las Vegas to discuss the fundraising efforts later this week.
However, it also noted that the move was not yet a done deal, citing potential changes.
“The terms, timing, and size of TMTG’s capital raising could still change. Two people familiar with the plans told the Financial Times that the offering had been increased in size in recent weeks due to strong demand,” FT reported.
Despite the speculation, TMTG called the report dumb. But the team failed to clarify if it wants to raise funds or not, while TRUMP’s price continues to consolidate.
On the daily chart, TRUMP’s price is trading within a symmetrical triangle, indicating a balance between bulls and bears. Amid this price action, the Relative Strength Index (RSI) is wobbling around the signal line, indicating neutral momentum.
If this trend continues, TRUMP’s price might keep swinging between $10.99 and $14.88 without any major breakout.
TRUMP Price Analysis: Bear Flag Shows Up
Unlike the daily chart, which presented potential consolidation, the 4-hour timeframe shows a more cautious outlook. From the image above, TRUMP’s price has formed a bear flag.
A bear flag is a bearish pattern that signals a likely continuation of a downtrend after a brief consolidation. For TRUMP, the pattern appears following a sharp downward move (the “flagpole”) and later on, the sideways movement (the flag).
As of this writing, the volume around the memecoin has dropped. Due to that, TRUMP’s price is likely to drop below the lower trendline of the flag.
If validated, the next move for the cryptocurrency could be a decline to $11.69. Should selling pressure increase, the market value might slide to $10.89.
However, if buying pressure increases, TRUMP’s price might break past the upper trendline of the flag. Should that be the case, the cryptocurrency might rally to the peak of the flag, possibly hitting $16.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
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