Melania Token Team Sells $1.5M in MELANIA as Memecoin Sector Shows Signs of Weakness

The team behind the Official Melania Meme (MELANIA) token has offloaded more than $1.5 million worth of tokens over the past three days, raising concerns about mounting selling pressure. According to on-chain data, the team sold $630,000 worth of MELANIA on April 26, followed by an additional $930,000 on April 28.

Data flagged by crypto intelligence platform Lookonchain revealed that the sales were executed using a Dollar-Cost Averaging (DCA) strategy — a method where a fixed amount of an asset is sold at regular intervals to manage risk and emotional trading decisions.

“The #Melania team didn’t just add or remove liquidity to sell $MELANIA, they also employed a DCA strategy for direct sales!” Lookonchain posted on X.

Despite the ongoing sell-off, the MELANIA token has shown some resilience, posting a 21% recovery over the past seven days. However, it still trades roughly 96% below its all-time high of $13.7, reached on January 20, 2025 — the day of U.S. President Donald Trump’s inauguration.

Short Sellers Target Trump Memecoin (TRUMP)

In related news, a whale wallet recently bet against the Official Trump (TRUMP) token. This newly created wallet deposited $1.33 million in USDC stablecoins to open a short position at $14.70 with 2x leverage. The position will be liquidated if TRUMP’s price climbs above $21.50, according to Lookonchain.

The move reflects growing skepticism toward the Trump-themed memecoin, especially after the overall market enthusiasm around political memecoins has started to fade.

Memecoin Popularity Fades After Q1 Peak

Memecoins had a blockbuster start to 2025, emerging as the second-largest crypto narrative after AI tokens. According to CoinGecko’s quarterly research report, memecoins captured 27% of global investor attention in Q1, while AI-related tokens led with 35%.

However, signs suggest the memecoin supercycle might be nearing its end. Activity on memecoin launchpad Pump.fun saw a steep drop from 2.85 million active wallets in January to 1.44 million by the end of March.

“Seems like we have yet to see another new narrative emerge, and we are still following past quarters’ trends,” noted Bobby Ong, co-founder and COO of CoinGecko.

With declining interest and increased selling pressure from insiders, the memecoin sector may be entering a cooling-off phase after months of explosive growth.