Opened down 1/3 in 1 minute, "halved" in 26 minutes, the "Trump concept" abandoned by the market

Cryptocurrency projects related to the Trump family were once market darlings, but are now experiencing a sharp collapse in trust. This Tuesday, cryptocurrency mining company American Bitcoin saw its stock price plummet 33% just one minute after the market opened at 9:31 AM. Panic quickly spread, and five minutes later, the decline expanded to 42%. By 9:56 AM, the stock price had "halved," with a drop of over 50%. In response to the steep decline in American Bitcoin's stock price, co-founder Eric Trump posted on social media on Tuesday, attributing it to the end of the stock lock-up period rather than issues with the company's fundamentals. He wrote: Our fundamentals are nearly unparalleled. Although American Bitcoin's stock price rebounded on Wednesday, the entire "Trump concept" cryptocurrency sector is facing significant sell-offs. (American Bitcoin's stock price plummeted from its peak) World Liberty Financial, co-founded by President Trump and his son, has seen its token WLFI drop 51% from its early September high. The stock price of Alt5 Sigma, which was promoted by Trump's sons, has plummeted 85% from its peak this year. Additionally, there are "Meme coins" named after Trump and his wife Melania, which have seen their prices drop approximately 90% and 99% from their historical highs in January. Once, Trump's endorsement served as a catalyst for rising cryptocurrency prices, but now the "Trump premium" supporting these speculative assets has quickly turned into a "Trump drag." "Trump Premium" Has Become "Trump Drag" Earlier this year, Trump's embrace of cryptocurrency technology seemed sufficient to make digital tokens a reliable component of the financial system. Many cryptocurrency believers thought Trump had enough power to ensure the success of the projects he cared about most. For a time, various cross-promotions seemed to work. When Gryphon Digital announced a merger with Eric Trump's American Bitcoin in May, its stock price soared 173%. On the first trading day after the merger, American Bitcoin's stock price rose another 16%. These projects benefited from policies and regulatory changes pushed by Trump, including legislation aimed at bringing cryptocurrency stablecoins pegged to the dollar into the mainstream. However, the prices of digital tokens promoted by Trump have shifted from symbols of political success to burdens. Hilary Allen, a professor at the Washington College of Law, stated: President Trump's term has been a double-edged sword for the credibility of these projects. He added: Trump began launching his own cryptocurrency projects, many of which quickly depreciated significantly. If the goal was to gain credibility for these projects through the Trump family, it may have backfired Long-term cryptocurrency investor Michael Terpin says, the tariff measures remind people: Trump can give and take back. Retail Investors Bear the Biggest Losses Since October, this decline has reduced the wealth created by the Trump family through its cryptocurrency ventures and other businesses by more than $1 billion. However, according to the Bloomberg Billionaires Index, they still hold considerable profits. The real pain of this collapse is borne by retail investors who entered the market when asset prices were near their peak. 22-year-old Vancouver student Kevin Hu had bet that the market would continue to rise, but by mid-November, the value of his digital token portfolio had dropped by as much as 40%. He said: I thought that with a president supporting cryptocurrency so much, the market would have a bottom, but the market did not respond that way. Although Trump himself has recently downplayed his public promotion of cryptocurrency, on Tuesday, while American Bitcoin struggled, Bitcoin had one of its best days in recent weeks, rising about 6%, showing a divergence between the Trump concept and the mainstream cryptocurrency market