A blockchain surveillance company has revealed that a well-known crypto trader, who has gained a reputation for accurately predicting market highs and lows, has triggered a significant downturn for MAGA (TRUMP), a memecoin that draws inspiration from presidential candidate Donald Trump.

According to Lookonchain, the trader, who goes by the name Gigantic Rebirth (GCR), transferred more than half of his TRUMP holdings to the crypto exchange MEXC, presumably with the intention of selling them on the open market. This move reportedly caused the price of TRUMP to drop by 10%.

The report states, “Legendary trader GCR (GiganticRebirth) deposited 466,000 TRUMP ($2.4 million) to MEXC, causing the price to drop by 10%. GCR spent 703,000 USDT to buy 936,000 TRUMP at $0.75 from Dec 9th, 2023 to Jan 19th, 2024. He currently holds 470,000 TRUMP ($2.28 million), with a profit of ~$4 million!”

At the time of writing, TRUMP is trading at $4.34, marking a 20% decrease from its high of $5.47 last week. However, TRUMP has seen a 56% increase in value throughout October, closely mirroring the rising odds of Donald Trump winning the upcoming presidential election. Polymarket, a crypto betting platform, indicates that Trump has a greater than 60% chance of winning.

Earlier this year, the Republican nominee made cryptocurrencies a part of his campaign, advocating for the revival of the digital asset industry in the United States to establish the country as the “crypto capital of the planet.” He also expressed support for the launch of his own crypto platform, World Liberty Financial (WLFI), although specific details about the project remain unclear.

It is important to note that the opinions expressed in this article are not investment advice, and investors should conduct their own research before engaging in high-risk investments involving Bitcoin, cryptocurrencies, or digital assets. Additionally, any transfers or trades made are done so at the individual’s own risk, and any resulting losses are their responsibility. The Daily Hodl does not endorse the buying or selling of any cryptocurrencies or digital assets, nor does it provide investment advice.