- US President Joe Biden recently announced a key decision regarding the upcoming elections.
- Bidenโs new stance sparked a memecoin market frenzy.
- Will the shift in developments mark a turning point in the Democratsโ ‘no crypto’ stance?
The crypto industry has been placed on high alert in recent months, having become a focal point in the upcoming US presidential elections. The endorsement and rejection of the asset class by presidential candidates Donald Trump and Joe Biden, respectively, have heightened this watch.
As the fate of crypto continues to depend on which way the presidential baton swings, a new dramatic development has sparked volatility across the market.
Memecoin Market Goes Wild After Bidenโs Exit
The crypto market was thrown into another politics-linked frenzy on July 21, 2024, when the current US president and upcoming election hopeful, Joe Biden, announced his exit from the race.
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Biden’s decision triggered a dramatic crash in memecoins associated with his name, with four tokens suffering significant double-digit losses. BODEN, the memecoin linked to the president, fell a sharp 66% in immediate response to the news, tumbling from its day-high trading price of $0.02557 to a new all-time low of $0.008782.
The flash crash extended to the tokenโs market capitalization, which plummeted 60%, falling from $16.2 million to its current $6.5 million in the same period. Another Biden-named token, Hunter Boden (HUNTBODEN), also took a sharp 32% decline, plummeting from $0.0001504 to $0.0001014.
Despite the severe losses for BODEN and HUNTBODEN, these tokens were not the hardest hit. JILLBODEN, the memecoin tied to the First Lady of the United States, has recorded nearly 83% in losses since the news broke, trading at $0.000013 at press time. Another Biden family-linked token, Hunter Bidenโs Laptop ($LAPTOP), fell 61.3% upon the president’s exit, now trading at an all-time low of $0.000065.
However, the losses were not the only reaction to Bidenโs decision, as one token defied the negative trend of soaring to new highs.
Kamala Harris-Linked Token Breaks High
Following President Biden’s exit from the presidential race, buzz about Kamala Harris replacing him as the new Democrat candidate sparked a surge in the memecoin linked to the vice president.
Kamala Horris (KAMA), a Solana-based token, rallied to a new all-time high value of $0.0257, mounting a 133% increase within two hours. While KAMAโs triple-digit gains have since moderated, it remains at a double-digit increase of 73% at press time, trading at $0.01767.
The tokenโs surge comes amid the speculation that the new Democrat candidate may seize the opportunity to overturn the Biden-led โwar on cryptoโ narrative.
Variant fund CLO Jake Chervinsky echoed the growing industry sentiment that crypto will play a major role in the upcoming elections, emphasizing that Harris โmust quickly and emphatically reassure crypto votersโ should the party hope to secure a favorable outcome.
On the Flipside
- In his ongoing election campaign, Donald Trump has opted for a pro-crypto stance.
- Despite having similar names, these memecoins have no direct ties to the U.S. president or his family.
- The popular Donald Trump-linked token MAGA did not record any major price movements and is down approximately 3.3% in the last 24 hours.
Why This Matters
The volatility witnessed in the memecoin market following Joe Biden’s exit from the presidential race highlights the growing vulnerability of crypto to political trends, highlighting its place in the ongoing election debacle. However, as with all memecoins, the volatility of these tokens can be extreme, and investors are advised to exercise caution when dealing with them.
Read more on the performance of the Trump MAGA token in the ongoing election campaign:
Trump-Themed MAGA Coin Blasts Off 40% After Assassination Attemptย
Hereโs how Bitcoin ETFs performed in recent weeks in an overturn of a long trend of outflows:
Bitcoin ETFs Renew Market Optimism with 5-Day Inflow Streak
