Politically themed meme tokens (PoliFi) are taking a hit ahead of the November U.S. elections, with some hyped tokens down nearly 95% from their peak.
CoinGecko data shows that Solana memecoin Jeo Boden (BODEN), a pun inspired by Joe Biden combined with Doland Duck, has dropped 70% in the past week, following the incumbent President’s “debate disaster”, raising questions about his political future.
BODEN is now down 80% in the past 30 days and is back to levels last seen in early March, when it was just released.
Source: GeckoTerminal
Even Trump-themed tokens fell in price, despite Donald Trump’s chances of winning the election increasing after the debate.
TRUMP, the largest Trump PoliFi token, is down 10% on the day and 34% on the week. TREMP, Boden’s counterpart, is also down double digits: nearly 10% in the past 24 hours and 37% on the week.
Meanwhile, on Wednesday, the Polymarket poll asking whether Biden would drop out of the race had a YES lead of 55%.
The possibility of President Biden dropping out of the White House race reached an ATH of 55% on Polymarket after former President Barack Obama expressed concerns about Biden’s campaign and debate performance, as well as stressing his belief that Trump has a strong chance of winning.
Source: Polymarket
Markets are giving Biden a 42% chance of dropping out before the Democratic convention, scheduled for August 19.
Democrats have been preparing for a Biden exit, and the process of securing a new nominee will be complicated.
The easiest path is to nominate Vice President Kamala Harris, Biden’s running mate. Markets also pushed Harris’ odds of becoming the Democratic nominee to 31% on Tuesday.
Meanwhile, Polymarket bettors give Harris a 13% chance of winning the presidency and Joe Biden a 16% chance.
More than $211 million has been wagered on presidential election contracts on Polymarket, while nearly $10 million has been wagered on Biden dropping out.
As a result, most PoliFi memecoins are in the red, with the PoliFi sector down 11% over the past 24 hours. However, trading volume on the Polymarket betting marketplace has increased at the same time, suggesting that political bettors have turned to the platform.
“Contrary to expectations, PolitFi’s top memecoins failed to recover from the June 27, 2024 Presidential debate,” Austin Freimuth, research analyst at Messari, wrote in a recent note.
Freimuth estimates that Trump’s Vice President pick is expected to be the next big event in the PolitFi space.
“This announcement has the potential to trigger the creation of new memecoins associated with the chosen companion.”
Meanwhile, Gavin Newsom’s token, trading as NOOSUM, is up 4% over the past 24 hours as California Governor fly to DC to ‘Stand By’ Biden as He Meets with Democratic Governors.
Viet Cuong
Bitcoin Magazine
