Canary Capital takes memecoins to Wall Street with Trump Coin ETF

Key Takeaways

What is the SEC’s stance on memecoins like Trump Coin?

The SEC currently classifies memecoins as commodities, not securities, which may increase the likelihood of ETF approval.

What is the current trading status of Trump Coin?

Trump Coin traded at $7.56, up 0.1% in 24 hours but down 2.24% over the past week, with bears dominating the market according to RSI.

 Official Trump [TRUMP] is making headlines in the crypto market, as Canary Capital’s proposed Trump Coin ETF (TRPC) has officially appeared on the Depository Trust & Clearing Corporation (DTCC) platform.

Canary Capital’s proposed Trump Coin ETF

The ETF could boost Trump Coin’s liquidity and open access for traditional investors without requiring direct ownership of the token.

On top of that, industry experts pointed out that the SEC’s current classification of memecoins as commodities, rather than securities, could further increase the likelihood of regulatory approval in the future.

Crypto Town Hall noted, 

“The listing marks another step toward expanding the range of politically-themed digital asset products.”

As of now, the U.S. SEC is reviewing Canary Capital’s Trump Coin ETF proposal, gathering comments and feedback from stakeholders.

But needless to say, this process will typically span over several months, with no confirmed timeline for a final decision.

As the filing gained attention, traders turned to the charts.

Trump Coin price action

Meanwhile, the Trump Coin traded at $7.56 at press time. This reflected a modest 0.1% increase over the past 24 hours, though it dropped 2.24% in the past week, according to CoinMarketCap.

Technical indicators, including the Relative Strength Index (RSI), suggested that bears dominated the market.

Source: Trading View

Yet, despite this, many experts remain optimistic about Trump Coin, predicting a potential bullish breakout.

For example, a user on X expressed confidence in the coin’s upward momentum and said,

“No one is talking about this coin anymore and I believe it will soon breakout with a huge pump. Buy it with money you can afford to lose and let it play out, risk to reward here is crazy.”

Source: X

Echoing similar sentiments, another X user added, 

“$TRUMP coin is currently forming a bullish falling wedge pattern on the chart. It’s now holding the final support zone between 7.660 and 7.341.”

Source: X

A drop toward $6.37, they said, could present a potential entry point before a projected 78% rally following a breakout.

What’s more?

AMBCrypto’s recent review found that tokens linked to former President Trump are under pressure from excessive leverage, liquidations, and management concerns.

The TRUMP token ranks among the riskiest altcoins, fueled by speculation and high leverage, while WLFI comes under fire for freezing wallets, including those of prominent developers.

Thus, with so many ups and downs surrounding the Trump Coin, it remains to be seen what happens next.