The Official Melania Meme token, known as MELANIA, has had a week of significant price movement. It has recovered more than 21% and seems to have pulled itself out of the slump it was in for the last couple of months.
The problem is, despite this upswing, the token is still down more than 96% from its all-time high. And, unlike an investor in a NASDAQ stock, which might swing 10% either way, a holder of MELANIA has a steep hill to climb if they want to see any kind of full rebound.
The #Melania team didn’t just add or remove liquidity to sell $MELANIA, they also employed a DCA strategy for direct sales!
2 days ago, they sold 1.18M $MELANIA for 4,230 $SOL($632K) using the DCA strategy.
Today, they are selling another 2.01M $MELANIA($938K) through the DCA… pic.twitter.com/FQBUghEogv
— Lookonchain (@lookonchain) April 28, 2025
In the past three days, the MELANIA team has sold more than $1.5 million worth of tokens, using a dollar-cost averaging (DCA) strategy. This approach—commonly used by investors to manage risk—implies that the team is engaging in programmatic, metered sales of the tokens, rather than selling in a panic. Still, this introduces additional sell-side pressure into the market, which may be a headwind for token recovery.
Based on data from the blockchain, the last transaction noted involved the sale of 2.01 million MELANIA tokens for a sum that equates to about $938,000. This occurred just two days after the project’s team sold 1.18 million tokens for an amount that translates to around $632,000. The frequent and large-scale nature of these sales has led to some raised eyebrows in the community and with market watchers.
Strategic Sales Amidst Volatility
The MELANIA project started with the wave of memecoins connected to politics, which try to mix internet culture, public personas, and speculative trading. Although early interest in the token was enormous, it soon fell back and now looks like a miniature version of early 2023’s memecoin boom. The token’s current price is down roughly 95% from its all-time high.
Recent MELANIA team activity stands out for a reason: the sales themselves are not exactly market-friendly. Team members are not extracting liquidity from pools in one fell swoop. Instead, they’re selling directly to the market through a strategy known as dollar-cost averaging. This method is usually employed by investors looking to minimize the adverse price effects of their trades. It is a peaceful, market-inviting way to convert a large number of tokens into usable currency. But if what you want is a commitment signal from the team for the future value of the ecosystem, this is not it.
The selling pattern of controlled stocks is sometimes seen as smart risk management in a reawakening market; at other times, it is seen as management’s quietly clutching an exit strategy while selling tokens in controlled amounts, as this may well be. Of course, we do not know how smart or dumb management is; we only know that the weak performance of MELANIA’s tokeneconomy, the amount of MELANIA held on the books of people who work at the company, and the performance of MELANIA’s peacemakers at sell time have been worrisome for some would-be holders.
These concerns notwithstanding, the token did manage to achieve a modest bounce last week. This bounce, combined with the relatively recent rally of 21% that occurred within a few days, indicates that there is still some level of speculative interest around this project. Traders seem to be keeping an eye on the token. It is worth noting, however, that this potential rally is now at risk of being overshadowed by the apparent lack of alignment that exists between the development team and the much broader holder base—which holder base seems to be more and more agitated.
New or possible investors should be wary. Although a memecoin can go up in a very short space of time, it can also lack transparency. MELANIA’s visible profit-taking during what could be described as a somewhat fragile recovery on the part of the top cryptocurrencies has some traders thinking the team is as far from being a “community” as possible. With those profit-takers in mind, some traders might start rotating back into opportunities that are perceived as having stronger community backing or more organic momentum.
In the next several days, market participants will keep a close watch on MELANIA—not just for any price movement, but for what such movement might indicate about the team and its intentions. Whether this spells the end of the structured selloff we were talking about last week or just the jump from one low to another remains very much up in the air. Either way, the actions of the project’s insiders have once again illustrated how central team behavior is to the path taken by memecoins, especially in a market where narratives and sentiment are king.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
No Comments