A surprising focus has been placed on memecoins during the U.S. presidential elections, particularly on political tokens such as MAGA, STRUMP, Jeo Budden, and Kumala Herris, which have been gaining popularity. These tokens are seizing the momentum of the elections, experiencing increased interest in response to political developments.
While the fate of individual tokens may hinge on the election outcome, the broader memecoin sector shows promising potential for growth.
Emergence of political satire memecoins and their performance
Political satire tokens have emerged as a unique reflection of public sentiment. According to data from CoinMarketCap, various memecoins themed around Donald Trump have garnered significant attention and activity. Currently, the MAGA (TRUMP) memecoin boasts the highest market capitalization among election-related tokens.
Over the past week, MAGA (TRUMP) saw a 35% rise in value, while MAGA (MAGA) surged by 100%. TRUMP held a market cap exceeding $193 million, closely followed by MAGA at around $111 million.
In contrast, tokens parodying Vice President Kamala Harris have not attracted the same level of interest. Analysis indicates that these tokens, which include Kumala Herris (MAWA) and Kamala Horris (KAMA), had market caps below $5 million at the time of analysis. MAWA stood at $4.6 million, with KAMA around $3.3 million.
Potential trends post-elections
If Donald Trump secures victory, his associated memecoins are likely to soar as investors react to the news. This surge is expected to be driven by emotions rather than sustainable interest, potentially followed by a correction once the initial excitement diminishes.
In the event of a win for Vice President Kamala Harris, her related tokens could also experience a spike in value. Similar to Trump-themed tokens, this surge may be short-lived, later giving way to a period of decline after the election fervor subsides.
Overall trends in the broader memecoin market
Despite the attention drawn to political tokens, the wider memecoin market has shown consistent growth, reaching a market cap of approximately $68.5 billion recently. Notably, tokens like Goatseus Maximus (GOATS) have been pivotal in propelling this growth, registering substantial gains in recent times.
However, prominent memecoins have remained unaffected by political satire tokens, with no election-themed tokens currently ranking among the top 20. This suggests that while election sentiment may impact certain tokens, its overall effect on the memecoin market cap has been relatively minimal.