TRUMP Token Falls 8% After Democratic Midterm Sweep
3 min read
Trump-linked cryptocurrencies and media shares fell sharply on November 4, 2026, after Democrats won control of both chambers of Congress in the US midterm elections. The Official Trump token (TRUMP) dropped 8%, while MELANIA and World Liberty Financial (WLFI) each declined 11% during election-night trading.
The sell-off contrasted with gains across wider financial markets. According to Schaeffer’s Investment Research, the Dow Jones Industrial Average climbed more than 1,100 points as investors responded to the election results.
Trump Media & Technology Group, the parent company of Truth Social, opened at a record low of $5.23 per share. The stock later traded at $5.31, down 10.8%, putting it on course for its steepest single-session decline since February 5.
Key Takeaways
- TRUMP lost $40.23 million in market capitalisation during the election-night decline.
- MELANIA traded as low as $0.072, with $6 million in daily volume.
- Bitcoin and major altcoins recovered while Trump-linked assets lagged.
- Short interest in DJT increased 27% in the latest reporting period.
Trump Media Shares Hit Record Low
The decline extended a difficult year for Trump Media. The company had lost 59% of its share value during 2026, while previous summer recovery attempts encountered resistance around its 180-day moving average and the $10 price level.
Forbes Middle East reported that the stock decline erased an estimated $73 million from Donald Trump’s paper wealth.
His 41% ownership stake forms part of an estimated $6.5 billion personal fortune.
The company’s financial performance added context to the selling pressure. Trump Media reported a $238.1 million net loss for the second quarter of 2026 against revenue of just $1.7 million.
Trump Cryptocurrencies Diverge from Bitcoin
The Official Trump token’s market capitalisation fell from $455 million to $414.77 million, with its price settling near $1.47 after the initial liquidation.
According to Bitcoin Foundation, WLFI recovered to approximately $0.048–$0.049 after reaching an all-time low.
Its market valuation contracted by $120 million, from $1.65 billion to $1.53 billion.
Major cryptocurrencies moved in the opposite direction. Bitcoin gained more than 2% to $78,509, Ethereum advanced 2.53% to approximately $2,326, and XRP climbed 2.7% to $1.29.
Justin Sun Challenges World Liberty
WLFI faces a separate legal dispute involving Tron founder Justin Sun, who increased his investment from $30 million to $45 million.
Sun has petitioned a California federal court for sanctions against World Liberty Financial and its lawyers over allegedly delayed ownership disclosures involving UAE citizenship. The company disputes his broader allegations concerning frozen tokens and trading conduct.
“World Liberty was proudly American when it was selling tokens,” Sun wrote on X. “It discovered its UAE roots only when it needed a way out of an American federal courtroom.”
The quotation reflects Sun’s allegation, not a judicial finding. The ownership dispute could affect whether his claims proceed in federal court or another venue.
Congressional Changes Raise Policy Questions
The Democratic congressional majority creates potential obstacles for Republican-backed tax proposals and data centre deregulation. Schaeffer’s also reported Trump’s willingness to work with the incoming congressional leadership.
Congressional control could bring additional scrutiny of Trump-linked businesses, although future investigations and legislation remain contingent on decisions by lawmakers.
For investors, the immediate distinction is between measurable market losses and uncertain policy consequences. The trading declines are documented, but the longer-term effects of the congressional shift have yet to be established.
