While Bitcoin [BTC] has been closely monitored as part of the ‘Trump trade’ in light of the increasing likelihood of the former president reclaiming victory in the US election, alternative digital assets such as MAGA crypto have also experienced positive impacts.
The meme-based coin has surged by 33% in the previous week of trading, showcasing a better performance compared to BTC, which saw a 6% increase during the same period.
If projections about the outcome of the US election, as indicated by platforms like Polymarket, come to fruition, the value of MAGA and its associated tokens may witness a substantial surge.
US Elections Versus MAGA
Currently, Polymarket’s odds of Trump securing victory stand at 66%, with Kamala trailing behind at 34%. Several predictive models and platforms are suggesting a higher likelihood of a Trump victory, a scenario that could potentially trigger a significant uptrend for MAGA crypto.
The considerable confidence in this possibility is evidenced by substantial investments from prominent figures, with significant bets being placed on Trump’s potential triumph.
Interestingly, the market sentiment appears to align with the predicted outcomes highlighted by these platforms.
According to the trading entity QCP Capital, in the event of a Trump victory, Bitcoin and the broader crypto market could experience more substantial gains compared to traditional US stocks. The firm expressed:
“The increasing probability of a Trump win has had positive effects on both stock markets and Bitcoin. We have confidence that BTC is strategically positioned to yield better returns in the mid-term when compared to equities.”
Crucial Price Levels for MAGA
If these projections materialize, MAGA and its affiliated tokens like DJT could see significant growth and potentially outperform BTC once again.
Currently, the social media buzz surrounding MAGA has reached a peak not seen in two months, indicating a strong surge in interest and engagement across online platforms. This heightened engagement could serve as a catalyst for MAGA’s price development.
Nevertheless, the market sentiment has dipped into negative territory, signaling a cautious approach towards the memecoin in the short term.
At present, MAGA is trading at $4.3, but if a major surge occurs, the price could target $12, a level previously recorded in July and marked by bearish resistance that may impede further gains. This scenario could potentially trigger a remarkable 200% surge in value.
However, failure on Trump’s part could lead to a plummet in MAGA’s value, possibly even to zero. This forthcoming week holds significant importance for MAGA and other politically themed memecoins.