A blockchain monitoring company has reported that a prominent crypto trader, known for accurately predicting market highs and lows, has triggered a significant correction for MAGA (TRUMP), a memecoin inspired by former presidential candidate Donald Trump.

The trader, who goes by the pseudonym Gigantic Rebirth (GCR), apparently transferred over half of his TRUMP holdings to the crypto exchange MEXC, presumably with the intention of selling them on the open market. This move caused the price of TRUMP to drop by 10%, amounting to a deposit of 466,000 TRUMP tokens worth $2.4 million.

According to Lookonchain, GCR acquired 936,000 TRUMP tokens at a price of $0.75 each between December 9th, 2023, and January 19th, 2024, spending a total of 703,000 USDT. Currently, GCR holds 470,000 TRUMP tokens, valued at $2.28 million, resulting in a profit of approximately $4 million.

As of now, TRUMP is trading at $4.34, reflecting a 20% decrease from its peak of $5.47 last week. However, TRUMP has experienced a 56% increase in October, aligning with Donald Trump’s rising chances of winning the upcoming presidential election in November. Data from the crypto betting platform Polymarket indicates that Trump has a probability of over 60% of securing victory in the election.

Earlier this year, the Republican nominee incorporated cryptocurrencies into his campaign, advocating for the revitalization of the US digital asset industry to establish the country as the “crypto capital of the planet.” Additionally, he expressed support for the launch of his own crypto platform called World Liberty Financial (WLFI), although specific details about the project remain unclear.

Please note that the opinions expressed in this article are not investment advice. Investors should conduct thorough research before engaging in high-risk investments involving Bitcoin, cryptocurrencies, or digital assets. Transfers and trades are undertaken at one’s own risk, and any resulting losses are the responsibility of the individual. The Daily Hodl does not endorse the buying or selling of any cryptocurrencies or digital assets, nor does it provide investment advice.