MELANIA Token Crashes! Is Hayden Davis Behind Another Rug Pull?

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Hayden Davis, the controversial figure behind tokens like MELANIA and LIBRA, is back in the spotlight. Blockchain analytics firm Bubblemaps has revealed that Davis has been aggressively selling MELANIA tokens over the past 14 days. His wallets have dumped around $1.06 million worth of tokens onto centralized exchanges while also withdrawing over $2.05 million from liquidity pools. This pattern is shockingly similar to what happened with LIBRA, another project linked to Davis.

Meme Horror Continues…

Crypto Investigator Bubblemaps, a well-known blockchain analytics platform, revealed that Davis and his team have already cashed out over $100 million from MELANIA and LIBRA using questionable tactics. In collaboration with Coffeezilla, Bubblemaps previously exposed how these tokens were created to make quick profits rather than build long-term projects. 

For weeks, Davis’s MELANIA wallets were inactive. However, about 12 days ago, he began covertly selling tokens using a one-sided liquidity setup, a trick also used with LIBRA. Millions of tokens were also sent to centralized exchanges like Kraken and MEXC, likely to be sold off.

More Liquidity Drained from MELANIA

Soon after this breakout, new reports show a fresh MELANIA liquidity pool with $450K available for cashing out. This setup, detected just minutes after its creation, is designed for selling at a specific price. This suggests that Davis is still actively trying to pull funds out of the token, causing more instability in the market. 

As of March 28, constant sell orders kept pushing MELANIA’s price down. It dropped from $0.70 to $0.63 in just a few days, with even lower prices on some exchanges. It once peaked at $13.73 but has since lost billions in value. While there’s still some money left in the market, many of its 246,375 holders might struggle to sell before prices drop even more.

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Political Memecoins- A Warning Sign?

The rise of Trump-themed meme coins set the stage for this kind of crypto activity. On January 18, 2025, Donald Trump launched his own memecoin, TRUMP, which skyrocketed from a few cents to an all-time high of $72.68. The hype led to billions in trading volume and opened the door for more political meme tokens.

Melania Trump launched MELANIA the next day, but it was seen as a pump-and-dump scheme. Most of the supply was held by a few wallets, and a presale wallet quickly sold off 10%. The same pattern repeated with LIBRA on a larger scale.

What’s Next?

With Davis continuing to sell, MELANIA’s price could drop even further. The situation shows the risks of investing in political memecoins, which often face price swings, liquidity problems, and possible regulatory crackdowns. Investors should be cautious.